MAR 11.5 Post-trade transparency deferrals

1A transparency firm subject to MAR 11.4.2R may defer publication of post-trade transparency information for category 1 instruments, for the applicable maximum deferral duration periods, when the transaction is of a size larger than the one set out in the row corresponding to the particular instrument in MAR 11 Annex 1R.

Where a transaction fulfils the conditions for an applicable volume deferral in accordance with MAR 11.5.1R(1), the transparency firm must use the VOLO flag for the first trade report, omitting the relevant details, and use the FULV flag for the full trade report once it is published.

Where one or more of the components of a package transaction fulfils the conditions for an applicable deferral in accordance with MAR 11.5.1R(1) and (2), publication of the post-trade transparency information about all the components of the package transaction may be deferred until the applicable maximum deferral period has lapsed.

For the purposes of MAR 11.5.1R(3), where one or more of the components of a package transaction comprises a category 2 instrument, publication of post-trade transparency information about a category 1 instrument may be deferred until the end of the next day following execution.

1A trading venue operator may defer the publication of post-trade transparency information relating to transactions in category 2 instruments where it considers such deferral to be necessary for the purposes of achieving efficient price formation and fair evaluation of such category 2 instruments.

A trading venue operator must have regard at least to the factors set out in MAR 11.3.4R(1) to (5) in considering whether it would be necessary for the purposes of achieving efficient price formation and the fair evaluation of category 2 instruments to:

1. (a)

   defer the publication of post-trade transparency information and, if so, the duration of such deferral; or

2. (b)

   apply size thresholds to such transactions and, if so, what the thresholds should be.

A trading venue operator must establish, implement and maintain an internal process or rules for determining the applicable deferral size thresholds, durations and type of post-trade transparency information, the publication of which it will defer, under (1), in respect of category 2 instruments.

A trading venue operator must publish in its rulebook the rules or processes it adopts to fulfil (3) before it implements them.

A trading venue operator must promptly inform the FCA of any significant breaches of the process or rules in (3) which give rise to a material risk of price distortions in, or unfair valuations of, category 2 instruments.