Directive 2004/39/EC of the European Parliament and of the Council
of 21 April 2004
on markets in financial instruments amending Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC (repealed)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE I

DEFINITIONS AND SCOPE

Scope
Article 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Exemptions
Article 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Optional exemptions
Article 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Definitions
Article 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE II

AUTHORISATION AND OPERATING CONDITIONS FOR INVESTMENT FIRMS
CHAPTER I

CONDITIONS AND PROCEDURES FOR AUTHORISATION

Requirement for authorisation
Article 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Scope of authorisation
Article 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Procedures for granting and refusing requests for authorisation
Article 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Withdrawal of authorisations
Article 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons who effectively direct the business
Article 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Shareholders and members with qualifying holdings
Article 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Assessment period
Article 10a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Assessment
Article 10b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Membership of an authorised Investor Compensation Scheme
Article 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Initial capital endowment
Article 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Organisational requirements
Article 13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Trading process and finalisation of transactions in an MTF
Article 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relations with third countries
Article 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CHAPTER II

OPERATING CONDITIONS FOR INVESTMENT FIRMS
Section 1

General provisions

Regular review of conditions for initial authorisation
Article 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

General obligation in respect of on-going supervision
Article 17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Conflicts of interest
Article 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 2

Provisions to ensure investor protection

Conduct of business obligations when providing investment services to clients
Article 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Provision of services through the medium of another investment firm
Article 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Obligation to execute orders on terms most favourable to the client
Article 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Client order handling rules
Article 22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Obligations of investment firms when appointing tied agents
Article 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transactions executed with eligible counterparties
Article 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 3

Market transparency and integrity

Obligation to uphold integrity of markets, report transactions and maintain records
Article 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Monitoring of compliance with the rules of the MTF and with other legal obligations
Article 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Obligation for investment firms to make public firm quotes
Article 27 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Post-trade disclosure by investment firms
Article 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Pre-trade transparency requirements for MTFs
Article 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Post-trade transparency requirements for MTFs
Article 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CHAPTER III

RIGHTS OF INVESTMENT FIRMS

Freedom to provide investment services and activities
Article 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Establishment of a branch
Article 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Access to regulated markets
Article 33 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Access to central counterparty, clearing and settlement facilities and right to designate settlement system
Article 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Provisions regarding central counterparty, clearing and settlement arrangements in respect of MTFs
Article 35 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE III

REGULATED MARKETS

Authorisation and applicable law
Article 36 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Requirements for the management of the regulated market
Article 37 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Requirements relating to persons exercising significant influence over the management of the regulated market
Article 38 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Organisational requirements
Article 39 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Admission of financial instruments to trading
Article 40 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Suspension and removal of instruments from trading
Article 41 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Access to the regulated market
Article 42 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Monitoring of compliance with the rules of the regulated market and with other legal obligations
Article 43 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Pre-trade transparency requirements for regulated markets
Article 44 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Post-trade transparency requirements for regulated markets
Article 45 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Provisions regarding central counterparty and clearing and settlement arrangements
Article 46 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

List of regulated markets
Article 47 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE IV

COMPETENT AUTHORITIES
CHAPTER I

DESIGNATION, POWERS AND REDRESS PROCEDURES

Designation of competent authorities
Article 48 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Cooperation between authorities in the same Member State
Article 49 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Powers to be made available to competent authorities
Article 50 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Administrative sanctions
Article 51 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Right of appeal
Article 52 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extra-judicial mechanism for investors' complaints
Article 53 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Professional secrecy
Article 54 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relations with auditors
Article 55 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CHAPTER II

COOPERATION BETWEEN THE COMPETENT AUTHORITIES OF THE MEMBER STATES AND WITH ESMA

Obligation to cooperate
Article 56 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Cooperation in supervisory activities, on-the-spot verifications or in investigations
Article 57 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Exchange of information
Article 58 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Binding mediation
Article 58a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Refusal to cooperate
Article 59 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Inter-authority consultation prior to authorisation
Article 60 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Powers for host Member States
Article 61 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Precautionary measures to be taken by host Member States
Article 62 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Cooperation and exchange of information with ESMA
Article 62a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
CHAPTER III

COOPERATION WITH THIRD COUNTRIES

Exchange of information with third countries
Article 63 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE V

FINAL PROVISIONS

Committee procedure
Article 64 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Sunset clause
Article 64a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Reports and review
Article 65 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amendment of Directive 85/611/EEC
Article 66 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amendment of Directive 93/6/EEC
Article 67 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amendment of Directive 2000/12/EC
Article 68 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Repeal of Directive 93/22/EEC
Article 69 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transposition
Article 70 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transitional provisions
Article 71 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Entry into force
Article 72 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Addressees
Article 73 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
ANNEX I

LIST OF SERVICES AND ACTIVITIES AND FINANCIAL INSTRUMENTS
Section A

Investment services and activities
(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section B

Ancillary services
(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section C

Financial Instruments
(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
ANNEX II

PROFESSIONAL CLIENTS FOR THE PURPOSE OF THIS DIRECTIVE
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
I.

Categories of client who are considered to be professionals
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
II.

Clients who may be treated as professionals on request
II.1.

Identification criteria
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
II.2.

Procedure
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Repealed by Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (recast) (Text with EEA relevance).