Status: Please note you should read all Brexit changes to the FCA Handbook and BTS alongside the main FCA transitional directions. Where these directions apply the 'standstill', firms have the choice between complying with the pre-IP completion day rules, or the post-IP completion day rules. To see a full list of Handbook modules affected, please see Annex B to the main FCA transitional directions.

MAR 5AA.1 Operation of a multilateral system as an MTF or OTF

MAR 5AA.1.1 R RP

1Where a firm operates a multilateral system from an establishment in the United Kingdom it must operate it as a multilateral trading facility or an organised trading facility.

[Note: article 1(7) of MiFID]

MAR 5AA.1.2 G RP

In our view, any system that merely receives, pools, aggregates and broadcasts indications of interest, bids and offers or prices should not be considered a multilateral system. This means that a bulletin board should not be considered a multilateral system. The reason is that there is no reaction of one trading interest to another other within these types of facilities. However, operating such a facility may amount to performing the activity of making arrangements with a view to transactions in investments (see PERG 2.7.7BG).