Market makers can also trade for their own accounts, which are known as main transactions. In a stress market situation (MSC), the requirement for the participant to provide regular and predictable liquidity under the Market Making Schemes is modified to double spread requirements and half of commitments. During the CMS, market makers will continue to be monitored. SMC is considered “liquid security” with respect to a financial instrument subject to a contractual market management regime with LuxSE and declared “liquid security” by the AEMF in the following situations: Market Makers under the different Market Making Schemes or under the Agreement are required to identify all relevant orders and offers on LuxSE control systems as follows. : A market maker (MM) is a company or individual that actively displays two-sided markets in a security and offers offers (hereafter Asks) at the same time as the market size of each company. Investment firms involved in algorithmic transactions and market-setting strategies for any tradable LuxSE instrument must enter into a market-keeping agreement with LuxSE by providing a completed registration document (see documents below). If there is a liquid market for equities and ETFs, LuxSE offers market management schemes. As a reminder, market makers (whether under a system or only as part of an agreement) will be required to publish simultaneous two-way offers of comparable size and competitive prices and to act on their own account for at least half of the daily trading hours on a single calendar month. A market maker must commit to constantly quoting prices at which it buys (or offers) securities and sells (or demands) securities. Market makers must also indicate the volume in which they are prepared to act and the frequency of the time it will indicate at the “Best Bid and Best Offer” (BBO) awards. Market participants must adhere to these parameters at all times, throughout the market outlook.
If markets become unpredictable or volatile, market makers must remain disciplined in order to continue to facilitate smooth trading. All of our members acting as Market Maker must complete the registration form and thus confirm their understanding and acceptance of the terms and conditions of sale applicable to all instruments admitted to trading.