MiFID II FAQ

Implementation and timelines
How and when will Euronext implement the changes required by MiFID II?

Please consult the MiFID II Migration Guidelines.

New order fields
When will MiFID II identifiers become mandatory?

MiFID II identifiers will be mandatory as of 3 January 2018.

Will my order be rejected if I do not populate MiFID II identifiers on order entry?

As of 3 January 2018, Euronext will apply technical controls on all MiFID II fields for Euronext Derivatives and will reject an order with an error message if mandatory and conditional fields have not been populated as required.

For Euronext Cash Markets, prior to the implementation of Optiq, Euronext will not reject an order if mandatory or conditional fields have not been populated as required. However, Members are strongly reminded to not change the way Rule80A is currently populated in order entry to match with the relevant Trading Capacity, as this may lead to an order rejection.

Short and Long Code(SLC) Manager
Will my order be rejected if I have not supplied Euronext with the relevant short code and long code mapping?

Euronext will not validate short codes upon order entry or reject orders if short codes have not been declared ahead of trading.

Will Euronext inform me about missing short and long code mappings?

Euronext will inform Members at T+2 of missing short codes via email.

What is my deadline to supply short code and long code mappings?

Members are required to report short and long Code mapping data to Euronext for trading day ‘D’ before 10:00pm CET at D+1.

During which times can I submit short code and long code mappings?

SLC Manager is available on week days from 06:30am CET until 10:00pm CET. The service is unavailable beyond such times and reports submitted after 10:00pm CET will be rejected.

Do I have to submit a mapping file every day?

Members are not required to submit a mapping file every day, but only when there is a change to the short and/or long code data.

Are the short and long code combinations required to be unique?

A short and long code combination can be the same for CodeTypes ExecutionDecisionWithinFirm and InvestmentDecisionWithinFirm. One short code can be mapped to only one long code, but one long code can be mapped to more than one short code.

Do I require different log-in credentials (token) per Member Code?

Yes, SLC uploads are required per Member Code for which separate log-in credentials are required.

Transaction Reporting (RTS 22) and Order Record Keeping (RTS 6)
What will Euronext leverage for purpose of TVTIC?

Euronext uses a concatenation of the value of the Execution (or Trade) ID and the ISIN code to generate TVTIC.

For Cash markets, the field to use for execution ID, per protocol is:

  • SBE: Execution ID
  • FIX: ExecID (tag 17)

For Derivative Markets, Euronext leverages the field TradeID.

ISIN Code is the field retrieved from standing data for the associated instrument.

Where can I find ISIN codes for products listed on Euronext?
Will Euronext provide Waiver Indicators on execution and fill messages?

Please consult the MiFID II Guidelines for the provision of data for RTS 22 and RTS 6, available here, as well as the Guidelines to implementing MiFID II requirements for Euronext Cash Markets.

What are the Legal Entity Identifiers (LEI) and Market Identifier Code (MIC) for Euronext Regulated Markets?

 

  • Euronext Amsterdam - XAMS - 724500V6UOK62XEZ2L78
  • Euronext Paris - XPAR - 969500HMVSZ0TCV65D58
  • Euronext Brussels - XBRU - 5493007YLUF2KAS0TM17
  • Euronext Lisbon - XLIS - 529900K0OK4J5I7A5V66
  • Euronext London - XLDN - 21380037K2DZ19T57655
  • Bourse de Luxembourg (BDL) - XLUX - 22210053OF4F2MYKUV22
  • Euronext Authorised Reporting Mechanism (ARM) - 969500HMVSZ0TCV65D58

Please note: Euronext operates several MTFs as Segments to the Regulated Markets. The MTFs therefore hold Segment MIC Codes and operate under the same LEI as the respective RM to which they are a Segment.

What are the Legal Entity Identifiers (LEI) for Euronext Clearing partners?
  • LCH Clearnet SA: R1IO4YJ0O79SMWVCHB58
  • EuroCCP: 724500937F740MHCX307

Algo testing and declaration
Am I required to perform conformance testing for each algorithm?

Conformance tests apply only to trading applications and algorithms that interact directly with the Euronext API. Please consult the Conformance test and Algo Declaration Policy

Who is responsible to ensure adequate testing of algorithms?

The Member is responsible to ensure that an algorithm has been properly tested. However, the Member may rely on a vendor for these purposes.

How do I certify my algo has been properly tested?

By using an algo in production, a Member self-certifies that the algo has been properly tested.

How do I declare an algorithm to Euronext?

Algo declaration is performed through the upload of a short code and long code mapping file via SLC Manager

Who is responsible for generating short codes for algos?

Assigning short codes and long codes to algos is the responsibility of the Euronext Member. However, the Member may rely on the ISV for these purposes.

Market Making
What is the difference between a Market Making Agreement and a Market Making Scheme?

Euronext has made available a Market Making Agreement in accordance with MiFID II regulation. Algorithmic traders pursuing Market Making activities will be required to enter into the Agreement. Market Makers who have entered into the agreement will be required to post firm, simultaneous two-way quotes of comparable size and competitive prices. They must also deal on their own account for at least 50% of the continuous trading session during at least half of the trading days over a single calendar month period.

In addition to the Market Making Agreement, Euronext has introduced a range of Market Making Schemes to replace certain Liquidity Provider programmes on equities, ETFs, and financial derivatives. The Market Making Schemes are subject to the same Terms & Conditions as the Agreement, but with specific quoting obligations per Scheme.

How do I register as Market Maker?

Euronext has enabled an online registration process via connect2.euronext.com for Authorised Representatives and those authorised to sign on behalf of the Member. Please note that the online registration process is not available for Members requiring more than one signatory to approve the General Terms and Conditions. In such cases, Members are required to use the regular Registration Form, available on the Euronext website and to return it to LPEurope@euronext.com.

Do Stressed Market Conditions apply to both the Market Making Agreement as well as the Market Making Scheme?

Stressed Market Conditions on Euronext Cash markets will occur following volatility halts due to price / volume changes in securities that are declared to be ‘liquid securities’ by ESMA and subject to a contractual Market Making Scheme.

What incentives will Euronext provide under Stressed Market Conditions?

In a situation constituting a Stressed Markets Condition, the obligation of the participant under the Market Making Scheme to provide liquidity on a regular and predictable basis will be amended to double the spread requirements

How do I flag Market Maker or LP flow to Euronext?

For Cash Markets, Members or participants acting as Market Maker or Liquidity Provider on Euronext Cash Markets will be required to flag this activity via account type ‘6’ in Rule80A. For Derivatives Markets, Members or participants acting as Market Maker or Liquidity Provider on Euronext Cash Markets will be required to flag this activity via account type ‘M’ in AccountCode.

Where can I find more information about the Euronext Market Making Agreement and Market Making Schemes?

More information on the Market Making Agreement and Market Making Schemes is available on the dedicated Euronext webpage.

Third Country Access
I am a firm established outside the EU. What impact does MiFID II have on my Euronext membership?

Based on current National arrangements, third-country firms will be able to access Euronext markets via direct membership.

I am a firm established outside the EU and not a direct Euronext member, what impact does MiFID II have on my ability to trade on Euronext markets?

Based on current National arrangements, third-country firms will be able to access Euronext markets as clients of MiFID II regulated DEA providers. Euronext is currently discussing the application of the ESMA Q&A on DEA providers from third countries with its regulators and providing relevant support to impacted firms.

I am a firm established outside the EU, what are my obligations for transaction reporting?

YNon-MiFID investment firms pass their obligation to report transactions to the venue of execution. Euronext will provide a mandatory transaction reporting services on behalf of non-MiFID trading members. Please contact ccc@euronext.com for more information.

I am a firm established in the UK. What impact does Brexit have on my membership of Euronext?

Post-Brexit, UK firms will be regarded as third-country firms but until the terms of the UK’s disengagement from the EU are known (and in particular the position of the UK in respect of the single market), it is difficult to identify the implications for firms’ access to European regulated markets. In the worst-case scenario (total disengagement from the single market), UK firms would have to rely on the arrangements described above.

DEA access
How will Euronext support DEA?

Euronext will use a DEA Indicator flag in the order entry messages to indicate whether an order was submitted via a Direct Electronic Access (DEA) connection or not. The designation of which clients are DEA clients is at the discretion of the DEA provider.

For Direct Market Access (DMA) clients, Euronext will determine adherence to risk control requirements set forth by MiFID II via scheduled audits and investigations (or information requests).

In the event of a Sponsored Access (SPA) request, Euronext will conduct due diligence in accordance with ESMA regulatory requirements.

Euronext has procedures in place to support members monitoring DEA or algorithmic orders triggering circuit breakers. Furthermore, the Euronext RiskGuard service will provide members with the ability to monitor their DEA Clients and set up a number of risk controls either via a FIX API or a web-based user interface. The service is embedded in the core of the Matching Engine. Any alert resulting from a limit being breached will be generated in real-time. I am a DEA user from a third country, can I continue to access Euronext markets?

I am a DEA client from a third country, can I continue to access Euronext markets?

Based on current National arrangements, third-country firms will be able to access Euronext markets as clients of MiFID II regulated DEA providers.

I am a DEA provider from a third country, can I continue to provide these services?

Euronext is currently discussing the application of the ESMA Q&A on DEA providers from third countries with its regulators and providing relevant support to impacted firms.

Saturn – Regulatory Reporting Services
I cannot log on to Saturn in EUA, what should I do?
  • Refer to the user guide for connectivity information
  • Check that you have the RSA token for EUA and the User account
  • Check that you have the rights to access the tool with your company Information Security administrator
  • You can call Customer Access Services if you still encounter issues at +33 1 85 14 85 89 or CAS@euronext.com
I cannot connect to the API, what should I do?
  • Refer to Web Services Specifications for connectivity information (11 PRE REQUISITE BEFORE USING API)
  • Check that you have asked and installed the Client Certificate
  • Check that you have an API User account (created by your Administrator)
  • Check that your IP addresses have been set (Configured by your Administrator)
  • Check that your authorization key is correctly generated (12.3 USERNAME AND PASSWORD ENCRYPTION)
  • Check that you have the rights to access the tool with your company Information Security administrator
  • You can call Customer Access Services if you still encounter issues at +33 1 85 14 85 89 or CAS@euronext.com
I cannot upload files into Saturn in EUA, what should I do?
  • Refer to the Web services specifications for information on how to upload files
  • Check that you have cleaned your cache (this sometimes helps)
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  • You can call Customer Technical Support Group if you still encounter issues at +33 1 85 14 85 88 and CTSG@euronext.com
I cannot send my Commodities Position Reporting information into Saturn, what should I do?
  • Refer to the Commodities Position Reporting document for information on how to report
  • If you cannot see the Commodities tab, check that you have ticked the Commodities box in the Saturn EUA order form
  • You can call Customer Technical Support Group if you still encounter issues at +33 1 85 14 85 88 and CTSG@euronext.com
I cannot connect to Saturn in Production, what should I do?
  • Refer to the onboarding document and user guide for connectivity information
  • Check that you have returned a signed copy of the Euronext Regulatory Registration Form to Euronext Membership
  • Check that you have requested access to Production
  • Check that you have the rights to access the tool with your company Information Security administrator
  • You can call Customer Access Services if you still encounter issues at +33 1 85 14 85 89 or CAS@euronext.com

If your question is not on the list, please get in touch with our MiFID II helpdesk or submit a question online.