6. Prevention and detection of Market Abuse
Obliged entities are required to have in place effective arrangements and systems to prevent and detect insider dealing and market manipulation as well as attempts of them. Such entities can be market operators or investment firms, as well as persons who professionally arrange and execute transactions.
It is highlighted that such arrangements must cover all orders received and transmitted and all transactions executed, including their cancellations and modifications. Any order or transaction presented as suspicious must be reported to the competent authority without any delay.
Moreover, we mentioned in a previously authored article the anticipated European Regulation for the Markets in Crypto-Assets (MiCA) as it has been proposed, will include provisions relating to the prevention and management of market abuse regarding crypto-assets. Thus, Crypto-Asset Services Providers (CASP) will be obliged to establish similar arrangements in this regard.
Final thoughts
In conclusion, the market abuse regime plays a pivotal role in the protection of investors and organisations and consequently ensures the financial markets’ efficiency, transparency, and integrity. Stakeholders of Cyprus Investment Firms (CIF) and other CySEC regulated entities, shall be in a position to prevent, detect, and manage existing and potential market abuse threats which can be achieved through targeted training.
For that purpose, SALVUS Funds in collaboration with the Institute for Professional Excellence (IforPE) has designed a self-study Continuous Professional Development (CPD) course titled Compliance with Market Abuse Regulation suitable for Compliance, AML, and Brokerage Officers, as well as other professionals employed in the investment services industry.
The course is designed to offer professionals all the necessary information regarding the market abuse regulatory framework, answer frequent questions on market abuse matters, outline details relating to market abuse practices, and guide regulated entities for the submission of Suspicious Transactions and Order Reports (STOR) to the regulator.
In addition, the SALVUS Regulatory Compliance team can guide investment firms, funds, Crypto-Asset Services Providers, and other CySEC regulated entities, in achieving compliance with MAR provisions.
Do not hesitate to contact us at info@salvusfunds.com or call us at +357 7000 7898 if you require support about your Market Abuse regulatory obligations or information about our Market Abuse course on IforPE.
#StayAhead
Should you be interested to read more about Anti-Money Laundering, Cyprus Investment Firms or the Markets in Crypto Assets regulation, please visit the selected articles below:
- MiCA and the CySEC CASP regime in Cyprus
- Establishing an Investment Firm in 2022 in Cyprus
- AML suspicious activity reporting and ML offences
The information provided in this article is for general information purposes only. You should always seek professional advice suitable to your needs.
