ESMA_QA_1743
Status: ✅ Answer Published
Link to ESMA Q&A tool: https://www.esma.europa.eu/publications-data/questions-answers/1743
Regulatory Context
Regulation : MAR
Level 1 Regulation: Market Abuse Regulation (MAR) Regulation (EU) No 596/2014 - Market Intergrity
Level 2 Regulation: No information available
Level 3 Regulation: No information available
Topic: Investment recommendations and statistics and disclosure of information on the media
Subject Matter: Recommendation on derivatives traded solely outside a trading venue
Question
Submission Date: 20 December 2016
Are recommendations relating to derivatives traded solely outside a trading venue in scope of Article 20 of MAR?
ESMA Answer
Answer Date: 20-12-2016
[ESMA70-145-111 MAR Q&A, Q&A 8.7] In line with Articles 2(1)(d) and 2 (3) of MAR, a derivative traded outside a trading venue is in scope of MAR insofar as its price or value depends on, or has an effect on the price or value of a financial instrument referred to in Article 2(1)(a), (b) or (c) of MAR. If the price or value of a derivative traded outside a trading venue does not depend on or have an effect on the price or value of a financial instrument referred to in Article 2(1)(a), (b) or (c) of MAR, the derivative would not be in scope of MAR and therefore any recommendation relating to the financial instrument would not be in scope of Article 20 of MAR. Therefore, firms are responsible for conducting their own assessment on a case by case basis as to whether a recommendation on a given derivative traded solely outside a trading venue is in scope of Article 20 of MAR and subject to the requirements of Commission Delegated Regulation (EU) 2016/958.
This document was automatically extracted from the ESMA EMIR Q&A database.