16 Amendments of Sirpa PIETIKÄINEN related to 2021/0385(COD)
Amendment 124 #
Proposal for a regulation
Recital 11
Recital 11
(11) In order to reinforce the price formation process and to maintain a level playing field between trading venues and systematic internalisers, Article 14 of Regulation (EU) No 600/2014 requires systematic internalisers to make public all quotes in equity instruments placed by that systematic internaliser below the standard market size. Systematic internalisers are free to decide which sizes they quote, as long as they quote at a minimum size of 10% of the standard market size. That possibility, however, has led to very low levels of pre-trade transparency provided by systematic internalisers in equity instruments, and has hampered the achievement of a level playing field. It is therefore necessary to require systematic internalisers to publish firm quotes relating to a minimum of twice the standard marketleads to significant volumes of transactions being traded in the dark, not contributing to the price formation process on the multilateral venues, i.e. the multilateral trading facilities and the regulated markets. This includes also retail investor volumes, since systematic internalisers are allowed to transact any sizes of orders. Retail investors are key to capital markets financing especially for SMEs. Systematic internalisers and dark pools play a role in order to avoid market impact, and this is relevant only for larger transactions. It is therefore necessary to require systematic internalisers to only match orders which are larger in size.
Amendment 131 #
Proposal for a regulation
Recital 12
Recital 12
Amendment 134 #
Proposal for a regulation
Recital 13
Recital 13
(13) Market participants need core market data to be able to make informed investment decisions. Pursuant to the current Article 27h of Regulation (EU) 600/2014, sourcing core market data about certain financial instruments directly from trading venues and APAs requires that consolidated tape providers enter into separate licensing agreements with all those data contributors. That process is burdensome, costly and time consuming. It has been one of the obstacles to consolidated tape providers emerging on a cross market basis. This obstacle should be removed in order to enable consolidated tape providers to obtain the market data and to overcome licencing issues. Trading venues and APAs, or investment firms and systematic internalisers without intervention of APAs (‘market data contributors’) should be required to submit their market data on executed transactions to consolidated tape providers, and to use harmonised templates respecting high– quality data standards to do so. Only CTPs selected and authorised by ESMA should be able to collect harmonised market data from the individual data sources in accordance with the mandatory contribution rule. To make the market data useful for investors, market data contributors should be required to provide the CTP with market data as close as technically possible to real time. no later than one minute after the transaction is executed.
Amendment 151 #
Proposal for a regulation
Recital 20
Recital 20
(20) Competition among consolidated tape providers ensures that the consolidated tape is provided in the most efficient way and under the best conditions for users. However, no entity has, up until now, applied to act as a consolidated tape provider. It is therefore considered appropriate to empower ESMA to periodically organise, for each of the asset class for which a tape will be established, a competitive selection procedure to selectawarding to a single entity which is able to provide thethe operation of a consolidated tape for each specifieda given asset class. Taking into account the novelty of the proposed scheme, ESMA should only mandate the provision of post-trade transparency data for the first selection procedure that it runs in relation to shares. At least 18 months before the launch of the second selection procedure, ESMA should submit a report to the Commission assessing whether there is market demand for extending the data contributed to the tape to pre-trade dataon possible improvements to the one minute delayed tape. On the basis of such a report, the Commission should be empowered, by way of a delegated act, to further specify the depth of pre-trade data to the tapemeasures for improving the post trade data tape, including on the delay of market data contributed to the consolidated tape provider.
Amendment 154 #
Proposal for a regulation
Recital 21
Recital 21
(21) According to data presented in the impact assessment accompanying the proposal for this Regulation, the expected revenue generation for the consolidated tape will vary depending on the precise features of the tape. The expected revenue of the CTP should significantly exceed the cost of its production and therefore help to build a solid revenue participation scheme whereby the CTP and the market data contributors share aligned commercial interests. This principle should not prevent CTPs from making a necessary margin to maintain a viable business model and from using the core market data to offer further analytics or other services aimed to increase the revenue pool.
Amendment 185 #
Proposal for a regulation
Article 1 – paragraph 2 – point d
Article 1 – paragraph 2 – point d
Regulation (EU) No 600/2014
Article 2 – paragraph 1 – point 36b – point a – point i
Article 2 – paragraph 1 – point 36b – point a – point i
Amendment 233 #
Proposal for a regulation
Article 1 – paragraph 3 – point b a (new)
Article 1 – paragraph 3 – point b a (new)
Regulation (EU) No 600/2014
Article 4 – paragraph 6 – point e a (new)
Article 4 – paragraph 6 – point e a (new)
(ba) in paragraph 6, the following point is added: ‘(ea) the minimum size of an order that may be matched using the trading methodology referred to in paragraph 1(a), shall be large in scale.’;
Amendment 281 #
Proposal for a regulation
Article 1 – paragraph 8 – point a
Article 1 – paragraph 8 – point a
Regulation (EU) No 600/2014
Article 14 – paragraph 2
Article 14 – paragraph 2
Amendment 286 #
Proposal for a regulation
Article 1 – paragraph 8 – point a
Article 1 – paragraph 8 – point a
Regulation (EU) No 600/2014
Article 14 – paragraph 3
Article 14 – paragraph 3
3. Systematic internalisers are allowed to quote any size. The minimum quoting size shall be at least the equivalent of twice the standard market size of a share, depositary receipt, ETF, certificate, or other financial instrument that is similar to thosshall be prohibited from quoting and matching orders that are smaller than large financial instruments and that is traded on a trading venu scale. For a particular share, depository receipt, ETF, certificate or other financial instrument that is similar to those financial instruments and that is traded on a trading venue, each quote shall include a firm bid and offer price, or firm bid and offer prices for a size or sizes which could be up to twice the standard market size for the class of shares, depositary receipts, ETFs, certificates or financial instruments that are similar to thosminimum large financial instruments, to which the financial instrument belongs scale. The price or prices shall reflect the prevailing market conditions for that share, depositary receipt, ETF, certificate or financial instrument that is similar to those financial instruments.;
Amendment 295 #
Proposal for a regulation
Article 1 – paragraph 8a
Article 1 – paragraph 8a
Regulation (EU) 2016/1011
Article 15
Article 15
(30) Article 15 is deleted;
Amendment 303 #
Proposal for a regulation
Article 1 – paragraph 8b
Article 1 – paragraph 8b
Regulation (EU) 2016/1011
Article 16
Article 16
(31) Article 16 is deleted;
Amendment 306 #
Proposal for a regulation
Article 1 – paragraph 8c
Article 1 – paragraph 8c
Regulation (EU) 2016/1011
Article 17
Article 17
(32) Article 17 is deleted;
Amendment 320 #
Proposal for a regulation
Article 1 – paragraph 10
Article 1 – paragraph 10
Regulation (EU) No 600/2014
Article 22a – paragraph 1
Article 22a – paragraph 1
1. Market data contributors shall, with regard to shares, ETFs and bonds that are traded on a trading venue, and with regard to OTC derivatives as defined in Article 2(7) of Regulation (EU) No 648/2012 that are subject to the clearing obligation as referred to in Article 4 of that Regulation, provide the CTP with all the market data as set out in Article 22b(2) as needed for the CTP to be operational. Those market data shall be provided in a harmonised format, through a high quality transmission protocol, and as close to real-time as is technically possibleno later than one minute after the transaction is executed.
Amendment 341 #
Proposal for a regulation
Article 1 – paragraph 10
Article 1 – paragraph 10
Regulation (EU) No 600/2014
Article 22a – paragraph 4
Article 22a – paragraph 4
4. Market data contributors shall not receive any remuneration for the market data provided other thanaccording to the revenue sharing as referred to in Article 27da(2), point h(1)(c).
Amendment 393 #
Proposal for a regulation
Article 1 – paragraph 15
Article 1 – paragraph 15
3. The first selection procedure organised for shares shall only invite bids for the provision of a consolidated tape containing one minute delayed post trade data. Prior to subsequent selection procedures, ESMA shall assess market demand and revenue impacts on regulated markets and based on that assessment, report to the Commission on the opportunity of adding best bids and offers and corresponding volumes to the tapepossible improvements to the tape, including on the delay of market data consolidated by the consolidated tape provider. Based on that report and on the experience gained further to the first selection procedure, the Commission is empowered to adopt a delegated act specifying the appropriate level of pre- trade data to be contributed to the CTPmeasures detailing improvements to the post trade data tape.
Amendment 419 #
Proposal for a regulation
Article 1 – paragraph 16
Article 1 – paragraph 16
Regulation (EU) No 600/2014
Article 27h – paragraph 1 – subparagraph 1 – point d
Article 27h – paragraph 1 – subparagraph 1 – point d
(d) make consolidated core market data, for the provision of which the CTP is selected in accordance with Article 27da, available in accordance with the data quality requirements set out in Article 22b to users into a continuous electronic data stream on non-discriminatory terms as close to real time as technically possiblef one minute delayed post-trade data provided to users on non- discriminatory terms;