Regulated market
Regulated market ( English regulated market ) is an organized market in the stock exchange system , which, as a stock exchange segment, comprises all securities admitted to stock exchange trading .
General
A market is generally a free market if the market participants can freely negotiate their action parameters (in particular market price , quantity , product quality ). However, if these action parameters (apart from market regulations ) are subject to official intervention (e.g. in the form of fixed , maximum or minimum prices ), then a regulated market exists. Since there is a minimum wage on the labor market , it is one of the regulated markets that are subject to market regulation .
In finance , the stock exchanges are one of the regulated markets. In the EU member states , the regulated market appeared in connection with Directive 2004/39 / EC on markets in financial instruments , which in Germany was transformed into German law with the Financial Market Directive Implementation Act (FRUG) in November 2007 . The legal term "regulated market" has since replaced the "official market" and the "regulated market" , which no longer exist. The regulated market was created on November 1, 2007 through the merger of the regulated market and the official market. All securities that belonged to one of the two merged segments before November 1, 2007 were automatically admitted to the Regulated Market.
Legal issues
Since November 2007, one can admission of securities to trading on the regulated market ( General Standard ) or a sub-market of the regulated market with additional post-admission obligations ( Prime Standard done).
The Stock Exchange Act (BörsG) mentions the regulated market as a legal term, but does not offer a legal definition . As a result of the replacement of the two statutory market segments “official market” and “regulated market” with the regulated market in the Stock Exchange Act, the term “official market” and “regulated market” had to be replaced by the term “regulated market”. From this it can be concluded that the regulated market contains criteria of the former “official market” as well as the former “regulated market”.
Securities that are to be traded in the regulated market on a stock exchange require admission or inclusion by the management of the stock exchange in accordance with Section 32 (1) of the Stock Exchange Act. This admission must be applied for by the issuer of the securities together with a credit institution , financial services institution or a company operating in accordance with Section 53 (1) sentence 1 or Section 53b (1) sentence 1 KWG (Section 32 (2) BörsG). According to Section 33 (1) BörsG, securities can be included in the regulated market at the request of a trading participant or ex officio by the management for exchange trading if the securities are already on another domestic exchange for trading in the regulated market in another EU member state or in another signatory state to the Agreement on the EMS for trading on an organized market or on a market in a third country, provided that admission requirements and reporting and transparency obligations exist on this market that are comparable to those in the regulated market for admitted securities, and the The exchange of information for the purpose of monitoring trading with the competent authorities in the respective country is guaranteed, is permitted and no circumstances are known which, if the securities are included, lead to an overreaching of the public or to damage to considerable general interests.
According to § 37 of the Exchange Act in these are federal debt register listed Federal securities and similar debt of the EU Member States and the EMS authorized by law to trading on the regulated market.
Admission and follow-up obligations
Admission of securities to stock exchange trading must comply with the provisions of the Stock Exchange Admission Ordinance (BörsZulV) based on Section 34 BörsG ; the application for admission with the international securities identification number must always be accompanied by a securities prospectus that meets the requirements of Section 4 WpPG . The one-time approval results in permanent follow-up obligations to be fulfilled, which mainly concern the publication of company data ( annual financial statements , management report and risk report ).
- Admission requirements in detail
- The company must have existed for at least three years ( Section 3 (1) BörsZulV );
- the expected market value or (if this cannot be estimated) the company's equity must be at least € 1.25 million ( Section 2 (1) BörsZulV);
- the company must issue at least 10,000 shares ( Section 2 (3) BörsZulV);
- Free float of at least 25 percent ( Section 9 Paragraph 1 BörsZulV );
- the company must be able to submit a registration prospectus with balance sheets , profit and loss account and cash flow statement for at least three years;
- the securities must be freely tradable ( Section 5 (1) BörsZulV).
If shares are to be admitted, the equity of the issuing company must be at least 1.25 million euros ( Section 2 Paragraph 1 BörsZulV), bonds must have a tradable nominal value of at least 250,000 euros (Section 2 Paragraph 2 BörsZulV), and no-par shares at least 10,000 units (Section 2 (3) BörsZulV). A sufficient free float of at least 25% of all shares must be guaranteed ( Section 9 (1) BörsZulV).
- Follow-up obligations for the issuer
- Publication of annual financial statements;
- Publication of an interim report for the first six months of the financial year ;
- Ad hoc publicity (in accordance with Art. 17 Market Abuse Ordinance ).
Stock exchange segments of the regulated market
Depending on which market transparency requirements are to be met by issuing companies, the Frankfurt Stock Exchange distinguishes between Prime Standard and General Standard , which are set out in the Exchange Rules (§§ 45 ff. BörsO for the General Standard and §§ 48 ff. BörsO for Prime Standard) are regulated.
Prime Standard
Companies represented in the Prime Standard belong to the large multinational companies . You are obliged to maintain a high level of transparency that must meet international requirements. This includes annual financial statements that must meet international accounting standards such as IFRS ( International Financial Reporting Standards ) and quarterly reporting .
General Standard
In the stock exchange segment of the General Standard, mostly nationally active small and medium-sized companies are represented, which only have to present annual financial statements in accordance with the German Commercial Code (HGB). Only the minimum requirements of the BörsG are to be observed.
Another stock market segment
In addition to the regulated market, there is only the open market , which has been called the Open Market since October 2005 . It is admitted to the Frankfurt Stock Exchange and operated by Deutsche Börse AG.
economic aspects
The regulated market is subject to the strictest and most comprehensive regulations of all stock exchange segments. The market access for market participants and retail properties is high legal barriers to market entry exposed that ultimately the investor protection act. Market participants (trading participants) are the companies and persons authorized to participate in exchange trading in accordance with Section 19 BörsG, such as exchange traders , lead brokers and lead brokers ( specialists ). Trading objects require approval or inclusion by the management of the exchange.
Individual evidence
- ↑ Springer Fachmedien Wiesbaden (ed.), Compact Lexicon Economy , 2014, p. 368
- ↑ Springer Fachmedien Wiesbaden (ed.), Compact Lexicon Economy , 2014, p. 470
- ↑ BT-Drs. 16/4028 of January 12, 2007, draft of a law for the implementation of the Directive on Markets in Financial Instruments and the Implementing Directive of the Commission (Financial Market Directive Implementation Act) , p. 99 f.
- ↑ Petra Buck-Heeb, Capital Market Law , 2009, p. 38
- ^ Günter Wierichs / Stefan Smets, Gabler Kompakt-Lexikon Bank und Börse , 2003, p. 38
- ^ Carsten Peter Claussen, Banking and Stock Exchange Law , 2003, p. 349
- ↑ Thomas Tiedemann, The position of the central counterparty in German and English securities trading , 2011, p. 5
