Systematic internaliser

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A systematic internaliser is a term newly introduced in the European Union by Directive 2004/39 / EC on markets in financial instruments (Financial Market Directive ) for certain investment service providers. According to Article 4 of the Financial Markets Directive, the term refers to an investment services company that trades regularly and in an organized and systematic manner for its own account by executing client orders. Trading for your own account means that you trade in financial instruments using your own capital . A systematic internaliser's trading takes place outside of an organized market or a multilateral trading facility.

The concept of the systematic internaliser was introduced into the Securities Trading Act (WpHG) with the Financial Market Directive Implementation Act , which came into force on November 1, 2007 . In the § 79 WpHG (§ 32 WpHG aF) and in the implementing regulation (MiFIR) for the Financial Markets Directive (MiFID), the obligations for the systematic internalisation in shares and certificates representing shares are fixed. The systematic internalisation in other financial instruments is not regulated.

The investment services company operating systematic internalization is available as a trading partner for the execution of orders in financial instruments. In the case of shares (or certificates representing shares), it undertakes to regularly and continuously publish binding purchase and sale offers (so-called quotes ) for the types of shares offered . If a third party wants to buy or sell at the quoted offered, this process is booked against the systematic internaliser's own inventory.

In addition to the stock exchange and the multilateral trading system , systematic internalization is a third way of executing buy or sell orders in financial instruments.

Transactions in shares or certificates representing shares must be published immediately after their execution ( Section 53 WpHG, Section 31h WpHG old version ).

Individual evidence

  1. Directive 2004/39 / EC Art. 4, Paragraph 1, No. 7.

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