October 4th 2018
The European Securities and Markets Authority (ESMA) has today updated its Questions and Answers regarding market structures and transparency issues under the Market in Financial Instruments Directive (MiFID II) and Regulation (MiFIR).
The new Q&As provide clarification on the following topics:
- Classification of derivatives on derivatives for transparency purposes;
- Default liquidity status of bonds (amendment to an existing Q&A);
- Scope of the pre-trade transparency waiver provided under Article 9(1)(c) of MiFIR;
- Market Making activities and incentives to be provided during stressed market conditions;
- Treatment of bulk quotes for the calculation of the Order to Trade Ratio;
- Scope of Article 17(6) of MiFID II and Chapter IV (Articles 24-27) of Delegated Regulation (EU) 2017/589 (RTS 6);
- Arranging of transactions that are ultimately formalised on another trading venue;
- Registration of a segment of an MTF as an SME growth market; and
- Maker Taker schemes.
For more information, please refer to the ESMA press release, here.