financial instrument

72

1. (1) (other than in (2) and (3)) those instruments specified in Part 1 of Schedule 2 to the Regulated Activities Order125, that is: 100
   1. (a) transferable securities;
   2. (b) money-market instruments;
   3. (c) units in collective investment undertakings;
   4. (d) options, futures, swaps, forward rate agreements and any other derivative contracts relating to securities, currencies, interest rates or yields, emission allowances,107 or other derivative instruments, financial indices or financial measures which may be settled physically or in cash;
   5. (da) (in relation to derivative contracts relating to a currency) has the meaning in article 10 of the MiFID Org Regulation) (in summary):107
      1. (i) an instrument which is not a contract within the meaning of paragraph 2 of that article; or107
      2. (ii) a means of payment as described in paragraph 1(b) of that article;107
   6. (e) options, futures, swaps, forwards107 and any other derivative contracts relating to commodities that must be settled in cash or may be settled in cash at the option of one of the parties other107 than by reason of a default or other termination event107;
   7. (f) options, futures, swaps, and any other derivative contract relating to commodities that can be physically settled provided that they are traded on a regulated market, a UK MTF or a UK OTF125, except for wholesale energy products (having regard to article 6 of the MiFID Org Regulation) traded on a UK OTF125 that must be physically settled where the conditions of article 5 of the MiFID Org Regulation are met;107
   8. (g) options, futures, swaps, forwards and any other derivative contracts relating to commodities, that can be physically settled not otherwise mentioned in (f) and:107
      1. (i) not being for commercial purposes or wholesale energy products traded on an EU OTF that must be physically settled,125 having regard to article 7(4) of the MiFID Org Regulation;107
      2. (ii) which have the characteristics of other derivative financial instruments having regard to article 7(1) of the MiFID Org Regulation; and107
      3. (iii) not being spot contracts having regard to articles 7 (1) and (2) of the MiFID Org Regulation;107
   9. (h) derivative instruments for the transfer of credit risk;
   10. (i) financial contracts for differences; and
   11. (j) options, futures, swaps, forward rate agreements and any other derivative contracts relating to:107
       1. (i) climatic variables;
       2. (ii) freight rates;
       3. (iii) emission allowances;
       4. (iv) inflation rates or other official economic statistics;
       5. (v) telecommunications bandwidth;
       6. (vi) commodity storage capacity;
       7. (vii) transmission or transportation capacity relating to commodities, whether cable, pipeline or other means;
       8. (viii) an allowance, credit, permit, right or similar asset which is directly linked to the supply, distribution or consumption of energy derived from renewable resources;
       9. (ix) a geological, environmental or other physical variable;
       10. (x) any other asset or right of a fungible nature, other than a right to receive a service, that is capable of being transferred;
       11. (xi) an index or measure related to the price or value of, or volume of transactions in any asset, right, service or obligation;
       12. (xii) a derivative contract to which article 8 of the MiFID Org Regulation applies;107
       where the conditions in articles 7107(3) and (4) of the MiFID Org Regulation107 are met;107
   12. [Note: article 44(1)(15)107 and section C of Annex I to MiFID and articles 7 and 8 of the MiFID Org Regulation107]
   13. (k) emission allowances consisting of any units recognised for compliance with the Emission Allowance Trading Directive ;107
2. (2) 98in MAR 1 and MAR 2, DTR 1, 2 and 3 and otherwise where used in relation to the Market Abuse Regulation, as defined in article 3(1)(1) of the Market Abuse Regulation.98
3. (3) (in IFPRU) has the meaning in article 4(50) of the UK CRR125.
4. 100(4) . [deleted]125107