What is market abuse?

In economics and finance, market abuse may arise in circumstances where investors in a financial market have been unreasonably disadvantaged, directly or indirectly, by others who: have used information which is not publicly available ( insider dealing) have disseminated false or misleading information ( market manipulation)

What is the new market abuse regime?

The new Market Abuse Regime strengthens the legal framework underpinning the function of detecting, sanctioning and deterring market abuse. It extends its scope to apply to new markets, new trading platforms and new behaviours and to cover a broader range of financial instruments.

How do we detect market abuse?

We also undertake our own surveillance of financial markets and have systems for identifying insider dealing and market manipulation in various financial markets. This includes analysing transaction reporting data, order book data, benchmark submission and other market data. This significantly helps us in detecting market abuse.

Does the market abuse regulation apply in the UK?

The Market Abuse Regulation will apply in the UK as well though. In principal, the behaviour that can amount to Market Abuse can be divided into either a form of abuse of information or market manipulation.