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  • Independence of the Market Maker

    • MIR-4.19.11

      The market maker must carry out the transactions under the market making agreement with total independence from the issuer, and neither the market maker nor the issuer may request or give any type of instructions or guidance. In particular, the issuer must not instruct, guide or intervene in the trading activity and the market maker must have sole discretion as to the timing of transactions in the issuer's securities.

      Added: January 2019

    • MIR-4.19.12

      The market maker must have an internal organisational structure such that trading decisions concerning the market making activities are independent from the activities related to investment services, proprietary account, client account or any other services provided by the market maker.

      Added: January 2019

    • MIR-4.19.13

      Without prejudice to being reimbursed for the expense incurred towards market making, the remuneration method of the market maker must be consistent with the purpose of the activity and must not impair the market maker's independence.

      Added: January 2019

    • MIR-4.19.14

      An issuer must ensure that the remuneration method does not encourage the market maker to influence the security price and/or trading volume through trades in the security. To that end, fees must be set within reasonable and justifiable levels with a maximum cap.

      Added: January 2019

    • MIR-4.19.15

      A market maker must not use its own funds to engage in trades under the market making agreement.

      Added: January 2019