The european Commission has officially adopted technical standards designed to facilitate the creation of consolidated tapes, as mandated by the Markets in Financial Instruments Regulation (MiFIR). These consolidated tapes are essentially centralized data feeds that aggregate price and volume details for various financial instruments-including stocks, bonds, and derivatives-from numerous trading venues, such as exchanges, throughout all EU Member States, into a single, streamlined source.

The goal is to provide both professional and retail investors with the tools to make better-informed decisions.The initiative is also expected to foster greater competition by directing trading activity toward venues offering the most attractive prices and liquidity. This move to consolidate the EU trading landscape is a key component of advancing the Savings and Investment Union, with the broader aim of strengthening the competitiveness and integration of EU financial markets.

The newly adopted technical standards are designed to ensure the delivery of high-quality data to the consolidated tapes in a timely manner. They also outline the criteria for authorizing consolidated tape providers and establish a methodology for the equity tape provider to share revenue generated from the sale of consolidated data with the trading venues that supply the information. Furthermore, the standards define the conditions for making market data publicly available in an accessible, fair, and non-discriminatory way, while also ensuring that fees remain fair and reasonable.

Commissioner for Financial Services and the Savings and Investments Union, Maria Luís Albuquerquesaid: “The consolidated tapes are a important contribution to the savings and Investments Union. Today, accessing trading data in the EU is still too costly and dispersed. By offering a unified, reliable view of market activity across the Union, consolidated tapes will make our capital markets more clear, competitive, and accessible – both for investors within the EU and globally. Today’s rules mark a decisive step towards building a truly single European capital market.”

Next Steps in Implementation

The new requirements have been formalized through an implementing act and three delegated acts. These acts will now be submitted to the European Parliament and the Council for review. The Commission also intends to adopt an additional Delegated Act in the coming days, focusing on transparency rules to support the extensive implementation of the consolidated tapes.

“The consolidated tapes are a significant contribution to the Savings and Investments union. Today, accessing trading data in the EU is still too costly and dispersed.”

What are Consolidated Tapes?

Consolidated tapes are a key advancement in the EU’s financial market infrastructure. Here’s a closer look: