Eric Juzenas, director of Chatham Financial’s global regulatory solutions team, adds that decisions on a cross-border framework will be heavily contingent on whatever happens in Europe. The European Commission is still finalising Mifid II rules regarding the trading obligation for derivatives, and the treatment of third-country firms under Mifid II. “I don’t think cross-border issues are going to be totally sorted out until it becomes clear how the EU cross-border rules are going to function in practice. While there has been a lot of discussion about what types of activity make you a US person, the flipside is: for what types of activities will you be considered an EU person? There will likely be a lot of discussion between the EU, US and market participants sorting that out as Mifid II’s effective date approaches,” says Juzenas.