market abuse

market abuse
A civil offence under Part VIII of the Financial Services and Markets Act 2000 (FSMA).
In order for behaviour to constitute market abuse, broadly, it must:
• Occur in relation to qualifying investments admitted (or in respect of which a request has been made for admission) to trading on a prescribed market (or in the case of the market abuse insider dealing and the improper disclosure behaviours only, in relation to investments which are related investments in relation to such qualifying investments).
• Fall within any one or more of the seven types of behaviour set out in section 118(2) to 118(8) of FSMA, that is:
• insider dealing;
• improper disclosure of inside information;
• misuse of information;
• manipulating transactions;
• manipulating devices;
• disseminating information likely to give a false or misleading impression;
• misleading behaviour or distortion.
For further information see the Code of Market Conduct on the Financial Services Authority's website.
Related links

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Look at other dictionaries:

  • Market abuse — may arise in circumstances where financial investors have been unreasonably disadvantaged, directly or indirectly, by others who:[1] have used information which is not publicly available (insider dealing) have distorted the price setting… …   Wikipedia

  • market abuse — Conduct that adversely affects a financial market and falls below the standards expected by the regular user of that market. The Financial Services Authority ( FSA) can enforce disciplinary action against those who commit such abuses. Exchange… …   Financial and business terms

  • Market Abuse Directive — (MAD) The directive on Insider Dealing and Market Manipulation (2003/6/EC). MAD is a measure under the Financial Services Action Plan which defines the behaviour considered to be market abuse and includes preventative measures aimed at making… …   Law dictionary

  • abuse — Ⅰ. abuse UK US /əˈbjuːs/ noun ► [C or U] a situation in which a person uses something in a bad or wrong way, especially for their own advantage or pleasure: »The former president has been accused of corruption and abuse of power. »The politician… …   Financial and business terms

  • Abuse — This article is about the mistreatment of people or systems. For other uses, see Abuse (disambiguation). Mistreat redirects here. For other uses, see Mistreat (disambiguation). Contents 1 Types and contexts of abuse 1.1 …   Wikipedia

  • abuse — 1 /ə byüz/ vt abused, abus·ing 1: to put to a use other than the one intended: as a: to put to a bad or unfair use abusing the powers of office b: to put to improper or excessive use abuse narcotics …   Law dictionary

  • market — mar·ket n 1: the rate or price at which a security or commodity is currently selling: market price 2 a: a geographical area of demand for commodities or services seeking new foreign market s b: a formal organized system en …   Law dictionary

  • market dominance — Under UK and EU law, businesses who are in a dominant position in a particular market must be careful to avoid accusations that they are abusing that dominant position. Dominant under EU law (Article 86 of the Treaty of Rome) means being able to… …   Law dictionary

  • Abuse (video game) — Infobox VG title = Abuse developer = Crack dot Com publisher = Electronic Arts, Red Hat, Bungie designer = engine = version 1.0.1 released = 1996 genre = Run and gun modes = Single player, Multiplayer ratings = ESRB: Teen (13+) ELSPA: 11+… …   Wikipedia

  • Market system — A market system is any systematic process enabling many market players to bid and ask: helping bidders and sellers interact and make deals. It is not just the price mechanism but the entire system of regulation, qualification, credentials,… …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”