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European Primary Dealers Handbook Updated Q3 2017

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European Primary Dealers Handbook Updated Q3 2017 European Primary Dealers Handbook Updated Q3 2017 Association for Financial Markets in Europe www.afme.eu About AFME The Association for Financial Markets in Europe (AFME) is the voice of Europe’s wholesale financial markets. We represent the leading global and European banks and other significant capital market players. We focus on a wide range of market, business and prudential issues and offer a pan-European perspective, bringing to bear deep policy and technical expertise and constructive influence with European and global policymakers. We advocate stable, competitive, sustainable European financial markets that support economic growth and benefit society. For more information, please visit the AFME website, Aboutwww.afme.eu AFME/Primary Dealers AFME/Primary Dealers advocates on behalf of eurozone government bond Primary Dealers with relevant government and regulatory bodies through dialogue and market best-practices recommendations. AFME/Primary Dealers is a Division, which promotes integration and efficiency within the European government bond market. It addresses primary and secondary market issues by facilitating consultation with key market participants, including European Debt Management Offices, the European Commission, the European Central Bank, and trading platforms. As an ancillary part of its advocacy efforts, AFME/Primary Dealers provides recommendations for efficient primary and secondary market procedures and promotes best practices in order to support industry standards as an efficient alternative Disclaimerto government regulation. This handbook has been compiled from public information, including that available on the various Debt Management Agencies’ websites and information submitted by the AFME European Primary Dealers members and other interested third parties. It is intended to be used only as a general guide for Primary Dealers to better understand the different Primary Dealership systems in place in Europe. Whilst all reasonable care has been taken in the preparation of this guide, AFME and the author do not accept any responsibility for any omissions or errors that it may contain. Nothing in this guide should be construed as legal advice and AFME does not accept any responsibility for any consequence or use of the data provided in it. This document may not be copied, reproduced, published, redistributed, passed on, communicated or disclosed, to any other party without prior written consent from AFME. European Primary Dealers Handbook ii Contacts i. London Office AFME 39th Floor London E14 5LQ Tel:25 Canada +44 (0) Square 20 3828 2700 Victoria Webster Tel: +44 (0)20 3828 2689 Director [email protected] Deslandes Associate +44 (0)20 3828 2684 [email protected] Hunt +44 (0)20 3828 2711 Quantitative Analyst [email protected] Brussels Office AFME Rue de la Loi, 82 Tel:1040 +32 Brussels (0)2 401 8724 Belgium iii. Frankfurt Office AFME Taunusanlage 1 Skyper Villa Reception:60329 Frankfurt +49 (0) am 69 Main 5050 60 590 Germany European Primary Dealers Handbook iii Introduction and thanks Welcome to our latest edition of the AFME/Primary Dealers Handbook. Since it was first published in 2008, this handbook has proven to be an invaluable reference work for European government bond market participants; dealers, brokers, DMOs, investors, as well as policymakers and journalists. Primary Dealers fulfil a key role by providing liquidity in the markets for government debt and the sovereign debt crisis emphasised the importance of Primary Dealers within the structure of the government debt markets. Each of the 16 chapters of this handbook offers a detailed description of the infrastructure of the primary and secondary market of a European country and the organisation of its Primary Dealer system. The appendices offer cross country overviews of certain organisational aspects, such as the electronic trading environment and summaries of the Primary Dealerships and sovereign credit ratings, while the preamble provides general background Futureinformation handbook on government updates will bond be availabletrading in on Europe. the AFME website . This European Primary Dealerships Handbook would not have been possible without the active cooperation of the European Debt Management Offices of Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Netherlands, Portugal, Slovenia, Slovakia, Spain, Sweden and the United Kingdom. We would also like to thank our members who actively trade in the European Government bond markets, as well as the various trading platforms, for their cooperation and valuable feedback. We hope that this handbook provides a convenient and user-friendly source of information on the structure and functioning Victoriaof the various Webster Primary Dealership systems in Europe. Director Primary Dealers, Credit & Covered Bonds European Primary Dealers Handbook iv Contents 1. Austria 1.1 A. List of Primary Dealers 1.2 B. Credit Rating 1.3 C. Debt Instruments 1.3 D. Primary Market 1.6 E. Secondary Market 1.10 F. Appraisal of the Activity of Primary Dealers 1.11 G. Contacts 1.12 2. Belgium 2.1 A. List of Primary Dealers and Recognised Dealers 2.2 B. Credit Rating 2.3 C. Debt Instruments 2.3 D. Privileges and Obligations of Primary Dealers and Recognised Dealers 2.3 E. The Primary Market 2.5 F. Secondary Market 2.10 G. Appraisal of the Activity of Primary Dealers 2.13 H. Contacts 2.14 3. Denmark 3.1 A. List of Primary Dealers 3.2 B. Credit Rating 3.3 C. Debt Instruments 3.3 D. Privileges and Obligations of Primary Dealers 3.4 E. Primary Market 3.5 F. Secondary Market 3.6 G. General Information on Government Borrowing and Debt 3.9 H. Appraisal of the Activity of Primary Dealers 3.10 I. Contacts 3.11 4. Finland 4.1 A. List of Primary Dealers 4.2 B. Credit Rating 4.3 C. Debt Instruments 4.3 D. Privileges and Obligations of Primary Dealers 4.4 E. Primary Market 4.5 F. Secondary Market 4.6 G. Quoting Obligations 4.7 H. Appraisal of the Activity of Primary Dealers 4.8 I. Contacts 4.9 European Primary Dealers Handbook v 5. France 5.1 A. List of Primary Dealers 5.2 B. Credit Rating 5.3 C. Debt Instruments 5.3 D. Privileges and Obligations of Primary Dealers 5.4 E. The Primary Market 5.5 F. Secondary Market 5.8 G. Monitoring and Control of the Resources Dedicated to the SVT Operations 5.11 H. Provision of Information and Advisory Services 5.12 I. Appraisal of the Activity of Primary Dealers 5.13 J. Contacts 5.17 K. French Market Appendices 5.21 6. Germany 6.1 A. List of Bund Issues Auction Group 6.2 B. Credit Rating 6.4 C. Financial Instruments 6.4 D. Primary Market 6.5 E. Secondary Market 6.8 F. Ranking of Bund Issues Auction Group 6.8 G. Contacts 6.9 7. Greece 7.1 A. List of Primary Dealers 7.2 B. Credit Rating 7.3 C. Privileges and Obligations of Primary Dealers 7.3 D. Primary Market 7.6 E. Secondary Market 7.8 F. Primary Dealers Evaluation Criteria 7.9 G. Quoting Obligations 7.12 H. Contacts 7.14 8. Ireland 8.1 A. List of Primary Dealers 8.2 B. Credit Rating 8.3 C. Debt Instruments 8.3 D. Rights and Obligations of Primary Dealers 8.4 E. Primary Market 8.5 F. Secondary Market 8.8 G. Appraisal of the Activity of the Primary Dealers 8.9 H. Contacts 8.10 9. Italy 9.1 A. List of Primary Dealers 9.2 B. Credit Rating 9.3 C. Debt Instruments 9.3 D. Privileges and Obligations of Primary Dealers 9.5 E. Primary Market 9.6 F. Secondary Market 9.9 G. Appraisal of the Primary Dealers’ Activity 9.10 H. Contacts 9.18 I. Italian Market Appendices 9.22 European Primary Dealers Handbook vi 10. The Netherlands 10.1 A. List of Primary Dealers and Commercial Paper Dealers 10.2 B. Single Market Specialists 10.2 C. Credit Rating 10.3 D. Privileges and Obligations of Primary Dealers 10.3 E. Primary Market 10.4 F. Secondary Market 10.6 G. Appraisal of Performance and Sanctions 10.9 H. Contacts 10.10 I. Appendices 10.14 11. Portugal 11.1 A. List of Primary Dealers 11.2 B. Credit Rating 11.4 C. Debt Instruments 11.4 D. Privileges and obligations of Primary Dealers 11.6 E. Primary Bonds Market 11.8 F. Treasury Bills Primary Market 11.11 G. Secondary Market 11.12 H. Quoting Obligations 11.14 I. OEVT Performance Appraisal 11.15 J. EBT Performance Appraisal 11.16 K. Contacts 11.17 12. Slovakia 12.1 A. List of Primary Dealers 12.2 B. Credit Rating 12.3 C. Debt Instruments 12.3 D. Rights and Duties of Primary Dealers 12.4 E. Primary Market 12.6 F. Secondary Market 12.7 G. Evaluation of Primary Dealers 12.8 H. Contacts 12.9 13. Slovenia 13.1 A. List of Primary Dealers 13.2 B. Credit Rating 13.3 C. Debt Instruments 13.4 D. Privileges and Obligations of Primary Dealers 13.5 E. Primary Market 13.7 F. Secondary Market 13.10 G. Appraisal of the Activity of Primary Dealers 13.12 H. Contacts 13.13 I. Slovenian Market Appendices 13.16 European Primary Dealers Handbook vii 14. Spain 14.1 A. List of Primary Dealers 14.2 B. Credit Rating 14.3 C. Debt Instruments 14.3 D. Privileges and Obligations of Primary Dealers 14.4 E. Primary Market 14.6 F. Secondary Market 14.11 G. Appraisal of the Activity of the Primary Dealers 14.16 H. Contacts 14.18 I. Spanish Market Appendices 14.22 15. Sweden 15.1 A. List of Primary Dealers 15.2 B. Credit Rating 15.3 C. Privileges and Obligations of Primary Dealers 15.3 D.
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