Stock exchanges & markets
Listed companies and market participants must comply with various transparency and prohibition regulations. Insider dealing and market manipulation are prohibited. The obligations incumbent on companies include having to publish ad hoc notifications and regular financial reports and having to report managers’ transactions and market participants' voting rights notifications.
Since 2 July 2016, a new legal regime has applied with the entry into force of further parts of the First Financial Markets Amendment Act (Erstes Finanzmarktnovellierungsgesetz – 1st FiMaNoG): BaFin monitors whether companies and market participants do in fact comply with the requirements and prohibitions of the directly applicable Market Abuse Regulation (MAR). At the European level, the MAR is supplemented by various delegated and implementing regulations, while at the national level in Germany it continues to be supplemented by the German Securities Trading Act (Wertpapierhandelsgesetz – WpHG), which has been amended with respect to the MAR and the relevant implementing provisions by the First Act Amending Financial Market Regulations (Erstes Finanzmarktnovellierungsgesetz – 1st FiMaNoG).
The current version of the German Securities Trading Reporting and Insider List Regulation (Wertpapierhandelsanzeige- und Insiderverzeichnisverordnung – WpAIV) will remain applicable for the time being, but the MAR and its delegated and implementing regulations have priority where they contain corresponding or diverging provisions.
Supervision of listed companies should not be confused with supervision of exchanges, since supervision of the individual stock exchanges in Germany is the responsibility of the stock exchange supervisory offices of the federal states. These supervisory offices oversee whether trading on the exchanges is conducted in a proper manner in accordance with the German Stock Exchange Act (Börsengesetz – BörsG).
In cooperation with the trading surveillance units, the main focus of stock exchange supervision is on the pricing process. The offices are also responsible for supervising any multilateral trading facilities operated by exchanges (regulated unofficial market). Multilateral trading facilities that are operated by credit or financial services institutions, on the other hand, are subject to supervision by BaFin. BaFin also performs stock exchange supervisory functions at the international level.