MAR TP 3 Transitional provisions relating to trading venue operators

1Application

1.1

R

The rules in MAR TP 3 applies in respect of trading venue operators from 3 March 2025 to 5 July 2026.

Position management controls

1.2

R

A trading venue operator must notify the FCA prior to implementation of each of the following:

(1)

the risk assessment framework, additional reporting and market risk analysis;

(2)

accountability thresholds;

(3)

governance arrangements to be followed for adoption and continuing review of position limit setting, the risk assessment framework, accountability thresholds and market risk analysis, including allocation of senior management responsibility, policies for managing conflicts, systems and controls, and board oversight;

(4)

the methodology for and setting of position limits and accountability thresholds, including the identification of related contracts, related OTC contracts and positions not eligible for netting;

(5)

policies and procedures relating to:

(a)

the granting of position limit exemptions for the position limits it sets, including the approach to the setting of exemption ceilings; and

(b)

position limit breaches including resolution and access to enforcement tools; and

(6)

arrangements for the sharing of information with relevant CCPs.

1.3

G

When a trading venue operator notifies the FCA in accordance with MAR TP 3.1.2R, it should allow such time as is necessary for the FCA to consider and assess the relevant matters, prior to proposed implementation.

Additional reporting

1.4

R

A trading venue operator must notify the FCA promptly when it decides to require additional reporting to that required by MAR 10.4, including in respect of OTC positions, to ensure the proper monitoring of risks to its markets and to protect orderly pricing and settlement conditions in relation to the commodity derivatives traded on its systems.