The new solutions will assist investment firms, asset managers and stock brokers to comply with MiFID, the European Markets in Financial Instruments Directive when it is introduced on 1 November 2007. The purpose of MiFID is to create transparency throughout the European Union for traders dealing in all securities. It is hoped MiFID will lead to greater competition in financial markets. However, MiFID imposes a number of compliance issues on financial firms. Some of these are expected to require significant investment by market participants, particularly in the areas of information technology, data access and storage.

KTS is initially addressing MiFID requirements in three major areas which are currently already well defined: pre-trade transparency, post-trade analysis and compliance reporting. Additional functionality is now offered on KTS MarketTerminal, the company's proven financial information application currently used by 130 client organisations throughout the UK, to assist financial firms address MiFID.

First, KTS is adding to MarketTerminal the capability to display quotes or orders from multiple transaction venues. This allows clients to simultaneously assess trade opportunities available at all transaction venues included in its best execution policy - a requirement under MiFID.

The choice of transaction venues is set to increase substantially in number under MiFID as investment banks acting as "systematic internalisers" compete alongside multi-lateral trading facilities with traditional exchanges such as the London Stock Exchange.

Integrated within MarketTerminal, the composite pre-trade quote view also offers customisable best-execution cost evaluations in real time. This enables clients to carry out comprehensive transaction cost analysis in real time and allows better and more efficient identification of best execution venues.

A second element of the suite of KTS MiFID solutions on MarketTerminal is its post-trade transaction analysisalysis functionality. This allows clients to assess compliance with best execution more readily. Customers' compliance officers can configure MarketTerminal to tag any of their firms' trades which fall outside of normal price parameters e.g. those significantly above the market's volume weighted average price (VWAP). Clients will therefore be able to identify any unusual trades, and shortlist those for further internal investigation.

The third major benefit for users is compliance reporting and data storage. Clients will be able to access every transaction made and every quote offered over a minimum of five years, as required under MiFID. Not only this, there will be a convenient report macro built into the platform, that in a few mouse clicks will produce a standard report for clients or the financial industry regulator to demonstrate compliance with the firm's stated best execution policy.

Dr Marc Pinter-Krainer, Chief Executive of KTS PLC, said: "Our technology offers a powerful and cost-effective solution to many MiFID requirements. We have worked closely with the industry and our research shows that, above all, clients want a MiFID solution that is easy and quick to implement. Firms may see MiFID as merely a compliance issue, however, it is our view that MiFID presents them with a real business opportunity for which the speed, versatility and efficiency of our MarketTerminal platform will give them a genuine advantage."