Accepted Market Practices

The Market Abuse Directive came into effect on 12 October 2004. In the event of a person manipulating a market, the Directive (2003/6/EC in Article 1 (5)) provides a defense if the transaction was legitimate and in accordance with market practices accepted by the competent authority – these are often referred to as ‘Accepted Market Practices’ (AMPs).

The decision to accept any given market practice as an AMP applies only to the practice in question in relation to a specific national market. This reflects the fact that the characteristics of each market may differ and as such, a particular practice may well be appropriate for one market but inappropriate for another where the conditions (such as the market size etc.) differ.

Article 2 of Directive 2004/72/EC implementing the Market Abuse Directive describes the non-exhaustive factors that a competent authority should take into account before deciding whether or not to accept a market practice. Article 3 of Directive 2004/72/EC sets out the process that the competent authority must follow in accepting any given market practice. The competent authority must in particular consult as appropriate relevant bodies such as representatives of issuers, financial services providers, consumers, other authorities and market operators before officially accepting an AMP.

To increase transparency and in accordance with ESMA’s obligations set out in the Directive 2004/72/EC, those AMPs which have been accepted by a national authority can be found below in the section Documents.

Reference documents

Links to useful ‘core' reference documents in relation to Accepted Market Practices and the Market Abuse Directive

Directive 2003/6/EC of 28 January 2003 on insider dealing and market manipulation (market abuse)

Commission Regulation (EC) No 2273/2003 of 22 December 2003 implementing Directive 2003/6/EC as regards exemptions for buy-back programmes and stabilisation of financial instruments

Directive 2003/124EC of 22 December 2003 implementing Directive 2003/6/EC of the European Parliament and of the Council as regards the definition and public disclosure of inside information and the definition of market manipulation

Commission Directive 2004/72/EC of 29 April 2004 implementing Directive 2003/6/EC as regards accepted market practices, the definition of inside information in relation to derivatives on commodities, the drawing up of lists of insiders, the notification of managers' transactions and the notification of suspicious transactions

Market Abuse Directive - Level 3 – first set of CESR guidance and information on the common operation of the Directive (Ref. CESR/04-505b)

Market Abuse Directive - Level 3 – second set of CESR guidance and information on the common operation of the Directive

Market Abuse Directive - Level 3 – third set of CESR guidance and information on the common operation of the Directive

Accepted Market Practices

Reference Date Type Title Download More Info
AMF AMP 2012 22/06/2012 Other Accepted market practices: Liquidity contracts for bonds (France) View > See more
AMP Netherlands 23/06/2011 Other Accepted Market Practices: Liquidity agreements (Netherlands) View > See more
AMP Italy 31/05/2010 Other Accepted Market Practics: Liquidity Enhancement Agreements and Purchase of own shares to set up a shares warehouse position (Italy) View > See more
AMP Greece 15/01/2009 Other Accepted Market Practices: Purchase of own shares to hold them for future acquisition of shares of another company (Greece) View > See more
AMP Portugal 19/08/2008 Other Accepted Market Practices: Liquidity Contracts (Portugal) View > See more
AMP Spain 11/02/2008 Other Accepted Market Practices: Liquidity Contracts (Spain) View > See more
05-365 03/06/2005 Q&A Accepted Market Practices - Frequently Asked Questions View > See more
AMP Austria 30/05/2005 Other Accepted Market Pratices: Valuation transaction on the bond market on the Vienna Stock Exchange (Austria) View > See more
Austria 30/05/2005 Other Accepted Market Practices - Austrian provisions View > See more
AMP France Buy Back 30/05/2005 Other Accepted Market Practices: a market practice related to share buy back programs. Buy an hold for future use as means of payment for acquiring another company on Euronext (France) View > See more
AMP France Liquidity 30/05/2005 Other Accepted Market Practices: a market practice related to share buy back programs. Liquidity contracts on Euronext (France) View > See more
AMP UK Annex 2 11/05/2005 Other Accepted Market Practices: FSA Guidebook extracts View > See more