MAE-4.6.9
A
(a) The market making scheme is objective, transparent, non-discretionary and non-discriminatory and must not give rise to disorderly market conditions or market abuse;
(b) The transactions carried out under the market making scheme are solely for the purpose of enhancing liquidity and regularity of trading in illiquid securities ;
(c) The scheme does not compromise on market integrity and risk management;
(d) All necessary systems and processes are in place to monitor market abuse and manipulation including collusion between members indulging in trades with an objective to enhance liquidity artificially;
(e) The activities of a market maker is continuously monitored for effective compliance with applicable law, rules and regulations;
(f) Orderly trading conditions are maintained and the minimum set of requirements to be met by the market maker in terms of presence, size and spread under normal trading conditions are adhered to;
(g) The number of market makers in a market making scheme is not restricted; and
(h) The CBB is informed of any violations of the provisions of applicable law, rules and regulations.
Added: January 2019