ESMA_QA_1643
03/04/2017
Subject Matter
Organized Trading facilities OTFs
Original question
Does the concept of OTF apply to voice trading and, if yes, when an investment firm executing transactions through voice negotiation should be considered as falling under the definition of OTF?
ESMA Answer
03-04-2017
Original language
[ESMA 70-872942901-38 MiFID II MiFIR market structures Q&A, Q&A 5.11]
Yes. MiFID II is technology neutral and the OTF definition includes voice trading in the same way as the definition of regulated markets and MTFs include voice trading systems. An investment firm executing transactions through voice negotiation would be considered as falling under the definition of an OTF where the arrangements in place would meet the conditions set out in Q&A 1635.
Status: Answer Published
Additional Information
Level 1 Regulation
Markets in Financial Instruments Directive II (MiFID II) Directive 2014/65/EU- Secondary Markets
Topic
Multilateral and bilateral systems