Industry experts are warning that Italy's financial-transaction tax on derivatives might harm markets more than the tax on stocks, which has lowered trading volume. Remco Lenterman, chairman of the FIA European Principal Traders Association, also noted that the derivatives tax as well as another proposed tax intended to rein in high-frequency trading won't really benefit the Italian government. "Governments like to go after certain market participants with taxes like these, but ultimately the costs will be passed on. This tax with be borne by the market as a whole and ultimately hit the end investor through their pension fund or other investments," Lenterman said.

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