The high cost of trading has become the issue of the moment for Europe's fund managers and the pressure to reduce costs is inexorably becoming heavier.

Paul Myners deserves much of the credit for propelling this complex issue up the agenda with his report last year on institutional investment. His report missed the bull's-eye by focusing on commissions, which are a relatively small part of the costs, instead of on spreads and market impact where the big costs lie. But the debate Myners fuelled on costs and lack of transparency in the industry is beginning to bear fruit.