Pilot Program designated for Market Makers registered for shares - update applied starting with July 6,

Transcription

1 Pilt Prgram designated fr Market Makers registered fr shares - update applied starting with July 6, I. General terms f the prgram date f the applicatin f the prgram s update: July 6, 2015 duratin f the prgram: minimum 6 mnths; after this perid f time, the prgram will be assessed in rder t be adjusted/ extended accrdingly the shares eligible fr the prgram will be as fllws: 1. shares included in the BET-XT index and EBS shares N. Symbl Issuer s name 1 FP FONDUL PROPRIETATEA 2 BRD BRD-GROUPE SOCIETE GENERALE BUCURESTI 3 SNP OMV PETROM S.A. 4 SIF3 SIF TRANSILVANIA BRASOV 5 TLV BANCA TRANSILVANIA CLUJ NAPOCA 6 SIF1 SIF BANAT CRISANA ARAD 7 TGN SNTGN TRANSGAZ MEDIAS 8 SIF5 SIF OLTENIA CRAIOVA 9 SIF2 SIF MOLDOVA BACAU 10 TEL C.N.T.E.E. TRANSELECTRICA BUCURESTI 11 BVB BURSA DE VALORI BUCURESTI 12 SIF4 SIF MUNTENIA BUCURESTI 13 SNN S.N. NUCLEARELECTRICA S.A. 14 SNG S.N.G.N ROMGAZ 15 EL ELECTRICA 16 ATB ANTIBIOTICE 17 BCC BANCA COMERCIALA CARPATICA 18 BIO BIOFARM 19 BRK S.S.I.F. BROKER 20 COTE CONPET 21 DAFR DAFORA 22 ELMA ELECTROMAGNETICA 23 IMP IMPACT DEVELOPER & CONTRACTOR 24 ROCE ROMCARBON 25 SCD ZENTIVA 26 EBS ERSTE GROUP BANK AG 1

2 The Market Maker parameters fr the shares mentined at the pints will be defined by BVB by request, in line with a specific prcedure set and based n the level f the interest expressed by the Participants that intend t act as the Market Maker fr these shares. 2. Eligible can als be, by request nly, the shares which are nt cnstituents f the BET-XT index, but are the cnstituents f the BET Plus index. until nw, the Rpharma shares, included in the BET Plus index, are eligible fr the prgram applied t the Market Makers. Nte: the Day Trading cmpnent f the prgram is applicable nly fr the shares included in BET-XT index and EBS shares. the prgram is addressed t all the BVB s Participants, that fulfil r are eligible t fulfil the requirements fr being registered as Market Makers, accrding t the specific prvisins f the BVB s Rulebk; tw categries f the Market Makers will be available fr a share eligible fr the prgram, defined mainly as fllws: Classical Market Maker (CMM) it is the regular (standard) type f the Market Maker registered fr a share that must cmply with a set f specific Market Makers parameters and fr which the crrespnding Market Makers fees are applied fr the Huse accunt - Nte: these attributes were applied within the previus Pilt Prgram designated t Market Makers, until the entry in frce f this update f the Pilt Prgram Super Market Maker (SMM) - it is a special type f the Market Maker registered fr a share, fr which the terms fr carrying ut the activities are cnsidered by reference t the terms applied fr the Classical Market Maker, in rder t create the prerequisites fr a mre active trading framewrk, cnsisting in additinal quting bligatins (in terms f minimum vlume, the minimum perid fr quting during the cntinuus trading) balanced with a certain flexibility f the maximum spread and a lwer level fr the Market Maker s fees. a Participant can register either as a Classical Market Maker r as Super Market Maker fr a specific share, depending n its request, fllwed by signing a set f specific Market Making dcuments (as apprpriate, based n the fulfilment f the additinal criteria as Super Market Maker). a CMM, a SMM are cnsidered t fulfil its mnthly cmmitment as Market Maker fr a particular share if: the number f days in which the daily quting bligatins were nt met by a CMM, respectively by a SMM fr a particular share divided by the ttal number f days available fr trading n the mnth cnsidered des nt exceed the specific percentage set, depending n the Market Maker type: 75% (fr CMM), 85% (fr SMM) fr each f the Market Maker type (CMM, SMM), a Revenue sharing scheme is available in rder t supprt the trading activity n the share registered in this status, defined as a ne, bi-cmpnents categry this scheme is cnditined firstly by meeting by a participant f its mnthly cmmitment as Market Maker fr a particular share each f the Market Maker categry will benefit frm a new incentive mdule prvided by BVB fr the participants enrlled in this prgram, namely a Day Trading cmpnent, that will be applied nly fr their retail clients, accrding t a specific prcedure, based n the fllwing principle: if a CMM, a SMM is registered fr a particular share and its mnthly cmmitment as Market Maker fr a particular share was met, then a Day Trading cmpnent will be available fr the trading activity carried ut fr that share by this participant fr its retail clients during the mnth cnsidered, if a specific activatin indicatr related t the trading activity registered n that share is met a Market Marker Revenue sharing scheme will be applied fr the participants designated as Super Market Maker fr a specific share, based n the fulfilment f the specific terms set 2

3 II. Specific terms applied t each type f Market Maker (Classical Market Maker / Super Market Maker) Classical Market Maker (CMM) Super Market Maker (SMM) 1. CMM Quting parameters SMM Quting parameters a) CMM Minimum vlume crrespnding t the firm buy and sell ffer CMM Minimum vlume SMM Minimum vlume = Minimum SMM threshld (calculated as CMM Minimum vlume + 1/2 * CMM Minimum vlume) the SMM Cmmitted Minimum vlume per a specific share is determined as the largest vlume submitted by a Participant /Market Maker fr a specific share, accrding t specific terms b) CMM Maximum spread between the bid and ask prices displayed by a participant CMM Maximum spread SMM Maximum spread = CMM Maximum spread % c) CMM Minimum perid f time fr maintaining the bid and ask ffer during ne trading sessin: 75% f the trading sessin r if the symbl was suspended frm trading, f the perid when it was traded during the trading sessin d) Minimum perid f time fr which a Market Maker must have this status 6 mnths 2. CMM fees: 0.01% applied n the buy and sell side f the trades carried ut n the Huse accunt by the Market Maker registered n that share, depending n the fulfilment f the quting bligatins, accrding t the Prcedure regarding the applicatin f the trading fees fr the Market Makers registered fr shares, depending n the fulfilment f the cnditins set SMM Minimum perid f time fr maintaining the bid and ask ffer during ne trading sessin: 85% f the trading sessin r if the symbl was suspended frm trading, f the perid when it was traded during the trading sessin Minimum perid f time fr which a Market Maker must have this status 6 mnths SMM fees: 0.005% applied n the buy and sell side f the trades carried ut n the Huse accunt by the Market Maker registered n that share, depending n the fulfilment f the quting bligatins, accrding t the Prcedure regarding the applicatin f the trading fees fr the Market Makers registered fr shares, depending n the fulfilment f the cnditins set 3. Revenue sharing scheme (updated) this is ne, bi-cmpnents categry, reflecting the activity as regards the liquidity prviding a) new Market Marker Revenue sharing scheme applied (updated) this scheme is applied exclusively fr the trades carried ut n the Huse accunt, fr a specific share, in cnnectin with the terms applied fr the SMM fees b) Day Trading cmpnent, applied exclusively fr the trading activity carried ut by the retail clients f the CMM n a particular share n which CMM is registered, activated based n the specific terms and cnditins Day Trading cmpnent, applied exclusively fr the trading activity carried ut by the retail clients f the SMM n a particular share n which SMM is registered, activated based n the specific terms and cnditins 3

4 1. CMM/ SMM quting parameters the Market Maker parameters applied fr Classical Market Marker as well as the framewrk fr setting the specific parameters fr the Super Market Maker are displayed in a specific dcument related t quting parameters the CMM Quting parameters are kept unchanged frm the Pilt Prgram fr the Market Makers applied until this update f the prgram 2. Prcedure regarding the applicatin f the trading fees fr the Market Makers registered fr shares, depending n the fulfilment f the cnditins set the principles f the prcedure regarding the applicatin f the trading fees fr the Market Makers registered fr shares, depending n the fulfilment f the cnditins set are kept unchanged; the prcedure was updated with the particularities fr CMM/ SMM. 3. Revenue sharing scheme the Revenue sharing scheme applied until this update f the prgram will nt apply since July 6, 2015 and it will be replaced by a new Revenue sharing scheme presented belw new Market Maker Revenue sharing scheme it is applied nly fr SMM registered fr a particular share in rder t prvide an incentive fr the activity perfrmed by Market Makers registered fr shares, this incentive scheme will be applied by BVB t SMM fr rewarding a greater invlvement f them n the shares n which they are registered, that will be applied fr the trades dne n the Huse accunt. By meeting the set standards, SMMs will receive benefits t further encurage brad-based liquidity prvisin n that share. the principles f the Market Maker Revenue sharing scheme are as fllws: the scheme is applied mnthly, distinctly fr each SMM and fr each share n which the respective SMM is registered, if the activatin criterin is met; the scheme is activated nly fr a SMM/share, nly if an activatin indicatr, cnsisting in the mnthly value registered by a specific share in its main market is greater r equal than a benchmark (represented by the average mnthly turnver registered n that share in the main market in the previus 3 mnths), is fulfilled. 1. based n this, a mnthly indicatr fr a SMM fr a specific share is calculated as fllws: Market Indicatr fr a SMM / share (%) = the mnthly trading value registered n the Huse accunt by a SMM fr a share in the main market f that share (crrespnding t the fulfilment f the daily quting bligatins) * 100 / Mnthly trading value registered n the main market fr that share 2. if the Market Indicatr fr a SMM / share is greater r equal with 10%, then the fee charged t a SMM will be as fllws: Range f Market Indicatr fr a SMM / share % fee t be applied t a SMM/ share x >=10% ½ SMM s fee (0.0025%) 4

5 This fee will be applied t the mnthly traded value registered by a SMM n the Huse accunt fr a specific share, based n the fulfilment f the quting bligatins. 3.2 Day Trading cmpnent f the Revenue Sharing scheme Main features day trading - eligible as nly trades executed fr a share in rder t pen and clse the psitins within ne day, and if the vlumes differ, the lwer vlume is qualified. the list f shares fr which the Day Trading is applicable: the shares included in the BET-XT and EBS shares, unless therwise set based n the decisin f the BVB s CEO. BVB will ntify in due time any change with regard t the list f the shares t which this scheme will be applied. Day Trading will be applied fr CMM/ SMM registered fr a specific share, depending n the specific criteria set Day Trading will be applied exclusively fr the trading activity carried ut by the retail clients (natural persns) f the Market Makers, nly fr this particular share n which Market Maker is registered, if the specific terms are met, as fllws: its mnthly cmmitment as Market Maker (CMM/ SMM) fr a particular share was met a specific activatin indicatr related t the trading activity registered n that share was met the activatin f the scheme fr a share in case f a CMM/ SMM registered fr that share is if the daily turnver registered fr a share in its main market is greater r equal with the benchmark set the benchmark cnsidered fr the activatin f the Day Trading fr a particular share will be calculated and disseminated by BVB at the beginning f the mnth in rder t be cnsidered fr the perid cnsidered the benchmark is determined based n: - the average daily turnver registered n the main market f that share in the previus 6 mnths - calculated as the ttal turnver registered per a share in its main market divided by the number f the trading sessins when effectively that share was traded - a calibratin factr applied t the average daily turnver; the scheme is applicable nly t the clients that meet the definitin f the retail client, accrding t CNVM/ASF s Regulatin n. 32/2006 (the client which is nt a prfessinal client) this scheme is a facility prvided t the brkers that are Market Makers fr a particular share and it is nt mandatry t be utilized by a Market Maker registered fr a share the participants will send the reprts crrespnding t their intraday activity (day trading) at the end f the mnth, accrding t the terms and cnditins specified by BVB if the activatin cnditin are met fr a share eligible, then the calculatin based n the scheme will be carried ut at the end f the mnth nly fr that share, based n the reprt sent by the CMM/SMM that was registered n that share if the participants didn t prvide the reprt files, accrding t the prcedure set, in the last trading day f the current mnth r in the first trading day f the next mnth, then it is assumed that they will nt take part in the scheme fr the mnth cnsidered 5

6 the participants will assume the full liability fr the crrectness and cmpleteness f the data prvided the participants exercise due diligence and necessary mnitring when drafting the reprts sent t BVB related t the intraday trades n the shares eligible and the reprts include trading infrmatin with regard t their retail client, accrding t the definitin f the retail client included in the CNVM/ ASF s Regulatin n. 32/2006 the participants assume that they have full audit related t the peratins carried ut in related t their retail clients subject f these reprts as well as the nature f their clients the participants will assume that they will send the reprts nly fr the shares eligible fr activatin, based n the criteria cnsidered if the reprts sent by the participants cntains errrs r incnsistences with the registratin f trades in the BVB s system (in terms f wrng tickets, the shares fr which the scheme will nt be activated, etc.), BVB will nt apply the prcedure in these cases and BVB will ntify accrdingly the brker invlved based n the reprts received frm the participants, BVB will determine an intraday value traded by a brker mnthly fr a particular share and it wuld apply an intraday rebate (%) t that value in rder t determine the discunted value that BVB must rebate it t this participant fr that particular share in the mnth cnsidered the intraday value per a client and share will be calculated as a minimum between the buy value registered by a client n a specific share and the sell value registered fr that specific share (n a daily basis) the intraday rebate % is: 0.01% apply n ne side (0.02% will be applied at the intraday value) the final intraday reprt per a participant will be determined as a sum f each intraday value calculated per a client and share BVB can suspend the Day Trading cmpnent r the invlvement f a Market Maker in Day Trading any time if cnsiders that the rderly cnditins fr carrying ut this scheme are nt met Day Trading will be applied fr minimum 3 mnths; after this perid, BVB will assess/ review this cmpnent f the prgram. 6