Knowledge Base

Which article of MiFIR provides that CCPs must accept to clear financial instruments on a non-discriminatory basis?

Article 34

Article 35

Article 36

Article 37

What is the primary role of central counterparty clearing houses (CCPs) in market infrastructures?

To maintain securities accounts and handle settlement-delivery

To guarantee the successful completion of transactions by interposing itself between buyer and seller

To provide trading services to investors

To regulate financial markets at European level

What is the open access principle?

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What is a central counterparty clearing house (CCP)?

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What are the two main types of market infrastructure mentioned in the text?

Trading venues and central banks

Central counterparty clearing houses (CCPs) and central securities depositories (CSDs)

Rating agencies and brokers

Stock exchanges and financial regulators

Categorize items by dragging them to the appropriate zones

Items to categorize:

Incompatibility of IT systems

Incompatible default procedure rules

Anticipated transaction volume exceeding technical capacity

Threat to economic viability due to minimum capital requirements

Categories:

Operational risks

Legal risks

Insufficient technical capacity

Economic viability

ESMA concluded in April 2016 that open access to exchange-traded derivatives creates undue risks for European market stability.

True

False

Article 35 of MiFIR requires trading venues to authorise access to CCPs that wish to clear transactions executed on them.

True

False