Why Splitting Research and Trading Is Being Rethought: QuickTake

More than five years after Europe upended the securities industry by requiring brokerages to separate charges for investment research from trading commissions, the rules are back in the spotlight. The UK plans to reverse the so-called “unbundling” as part of its efforts to capitalize on post-Brexit freedoms. The European Union is also considering a rollback, just as the Securities and Exchange Commission finally makes US firms adopt solutions for the regulatory mismatch it created between the two regions.

1. Why the rethink?

Critics say the rules have reduced the amount of investment research available. There was industry consolidation as research ...