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ESMA Q&A 1748 — Q&A — Recommendations on a derivative referencing an index [Answer Published]

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Recommendations on a derivative referencing an index

Question

How does Commission Delegated Regulation (EU) 2016/958 apply when the subject of the recommendation is a derivative referencing an index?

Answer

[ESMA70-145-111 MAR Q&A, Q&A 8.11]

If a recommendation relates to a derivative referencing an index of financial instruments, the derivative itself should be treated as a financial instrument subject to the requirements of the Commission Delegated Regulation (EU) 2016/958, and not the individual instruments that comprise the index.

Source: ESMA original document