Designated Sponsors/regulated Market Makers in equities: Amendment of minimum requirements in relation to quote parameters

Release date: 19 Dec 2019

085/2019 Designated Sponsors/regulated Market Makers in equities: Amendment of minimum requirements in relation to quote parameters Xetra Circular 085/19

1. Introduction

Frankfurter Wertpapierbörse (FWB®, the Frankfurt Stock Exchange) wishes to inform you about the following amendments to the Designated Sponsor concept for equities which apply to both the Designated Sponsor and the regulated Market Maker.

2. Required action

There is no special action required by Designated Sponsors/regulated Market Makers.

3. Details

Amendment of minimum requirements

Effective 4 February 2020, the requirements for quotes/two-sided limit orders in regards of maximum spread and minimum quotation volume will change depending on the liquidity class one up to four. Please find attached an overview of all liquidity classes and the minimum requirements. 

Furthermore, the calculation method for determining the number of shares to be quoted will be changed so that the minimum quoting volume in euro is divided by the equity's price and then rounded up to the next full 1 share, and no longer to the next 100 shares. Special consideration of high-priced equities by limiting the number of shares is therefore no longer necessary.

The maximum number of shares to be quoted per equity will in future be determined by the liquidity class and will no longer be limited by a fixed cap of 2,000 shares.

If you have questions regarding the new quote parameters, please contact Dagmar Wojcik, Products & Regulation, on tel. +49-69-211-1 36 45.
 

Attachment: 

  • New quote parameters, valid as of 4 February 2020

Further information

Recipients:All Xetra® Members and Vendors
Target groups:Designated Sponsors, regulated Market Makers, Traders, System Administrators, General
Contact:Dagmar Wojcik, Products & Regulation, dagmar.wojcik@deutsche-boerse.com, T +49-69-211-1 36 45
Web:www.xetra.com
Authorized by:Martin Reck, Dagmar Wojcik (on behalf of the Management Board)