Twenty years after the introduction of the first MiFID Directive, its core principles remain unchanged: informing clients correctly and truly understanding their needs. However, the environment in which financial professionals operate has changed dramatically. Digitalisation, sustainability requirements, new European regulations and increasingly informed investors have made the advisory process more complex than ever. That is why continuous learning has become essential for anyone working within the MiFID and AssurMiFID framework.
For this article, we spoke with Gregory Machenil, Director Regulatory & Transversal Lines at Febelfin, and Jim Demets, Expert Compliance Advisor at KBC. From their respective perspectives, both reflect on the same challenge: how can professionals continue to deliver high-quality advice in a constantly evolving industry?
“Informing clients properly and understanding what they truly need remains just as important today as it was twenty years ago.”
According to Gregory, financial professionals have had to adapt not only to increasing regulation but also to an entirely new context. Whereas client interactions were once largely face-to-face, advisory services are now increasingly delivered through digital channels. Investors are also more informed and often come to meetings with prior knowledge and expectations.
This does not mean the essence of the profession has changed. On the contrary, the core principles of MiFID remain highly relevant: informing clients and understanding their needs. The difference is that these principles now operate within a far more complex environment shaped by digitalisation, sustainability requirements, transparency obligations and expanding regulation.
As a result, advisers need a broad range of skills. They must understand regulation, apply it correctly, and explain complex concepts clearly to clients.
“The relationship between a banker and a client remains a relationship built on trust. Knowing your client well is essential in order to provide sound advice, both from an investment perspective and from a regulatory perspective.”
For Jim, one concept remains central to quality advice: trust.
According to Jim, client profiling should never be reduced to an administrative exercise. A thorough understanding of the client's objectives, preferences and circumstances forms the foundation of a long-term advisory relationship.
KYC requirements also create value for both the client and the institution. When integrated naturally into conversations, they support better advice rather than becoming a mere compliance exercise.
Expectations placed on financial professionals continue to grow. Gregory sees regulation, sustainability, technology and changing client expectations converging within the advisory process.
Jim observes a similar evolution in practice. In addition to product expertise and client focus, advisers now need strong regulatory knowledge, a solid understanding of financial markets and the ability to work with artificial intelligence. Clients have access to more information than ever before and increasingly challenge traditional approaches.
For both experts, continuous learning is no longer optional.
Gregory emphasises that financial services is one of the most heavily regulated sectors. To maintain credibility and client trust, employees must regularly update their knowledge and skills.
Jim shares the same view. In a rapidly changing world, advisers must continue developing their expertise to demonstrate the value of professional advice.
Regulation will continue to evolve. Gregory highlights the anticipated impact of the Retail Investment Strategy (RIS) and the growing importance of Value for Money within the European regulatory framework.
At the same time, Jim believes regulation should not be seen as a burden. Instead, it is an opportunity to better understand clients, protect them more effectively and provide higher-quality advice. That is how long-term trust is built.
Digitalisation, sustainability, new regulations and changing client expectations mean that financial professionals must continue investing in their development. Up-to-date knowledge enables them to inform clients correctly, ask the right questions and provide confident, high-quality advice.
Training programmes covering MiFID and AssurMiFID address topics such as regulation, advisory services, product governance, sustainability and compliance, helping professionals stay ahead of industry developments.
