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.

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).