Article 1 Definitions

For the purposes of this Regulation, the following definitions shall apply:

1. (1)

   "package transaction" means either of the following:

   1. (a)

      a transaction in a derivative contract or other financial instrument contingent on the simultaneous execution of a transaction in an equivalent quantity of an underlying physical asset (Exchange for Physical or EFP);

   2. (b)

      a transaction which involves the execution of two or more component transactions in financial instruments; and:

      1. (i)

         which is executed between two or more counterparties;

      2. (ii)

         where each component of the transaction bears meaningful economic or financial risk related to all the other components;

      3. (iii)

         where the execution of each component is simultaneous and contingent upon the execution of all the other components;

2. (2)

   "request-for-quote system" means a trading system where the following conditions are met:

   1. (a)

      a quote or quotes by a member or participant are provided in response to a request for a quote submitted by one or more other members or participants;

   2. (b)

      the quote is executable exclusively by the requesting member or participant;

   3. (c)

      the requesting member or market participant may conclude a transaction by accepting the quote or quotes provided to it on request;

3. (3)

   "voice trading system" means a trading system where transactions between members are arranged through voice negotiation;

4. (4)

   "the AIFM Regulations" means the Alternative Investment Fund Managers Regulations 2013 (SI 2013/1773).