| Author (Corporate) | European Commission |
|---|---|
| Series Title | COM |
| Series Details | (2011) 651 final (20.10.11) |
| Publication Date | 20/10/2011 |
| Content Type | Policy-making |
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Adopted in early 2003, the Market Abuse Directive (MAD) 2003/6/EC introduced a comprehensive framework to tackle insider dealing and market manipulation practices, jointly referred to as "market abuse". The Directive aims to increase investor confidence and market integrity by prohibiting those who possess inside information from trading in related financial instruments, and by prohibiting the manipulation of markets through practices such as spreading false information or rumours and conducting trades which secure prices at abnormal levels. The European Commission has assessed the application of the MAD and has identified a number of problems which have negative impacts in terms of market integrity and investor protection, lead to an unlevel playing field and result in compliance costs and disincentives for issuers, whose financial instruments are admitted to trading on SME growth markets, to raise capital. In light of these problems, this initiative aims to increase market integrity and investor protection, while ensuring a single rulebook and level playing field and increasing the attractiveness of securities markets for capital raising. Related proposal: - Proposal for a Directive of the European Parliament and of the Council on criminal sanctions for insider dealing and market manipulation |
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| Source Link | http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2011:0651:FIN:EN:PDF |
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| Subject Categories | Business and Industry, Internal Markets |
| Countries / Regions | Europe |
