Paragraph 1 Establishment, participation and governing law

F1(1)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2)

There must be not less than three institutions participating in the system, unless otherwise determined by the designating authority in any case where—

(a)

there are two institutions participating in a system; and

(b)

the designating authority considers that designation is required on the grounds of systemic risk.

(3)

The system must be a system through which transfer orders are effected.

(4)

Where orders relating to financial instruments other than securities are effected through the system—

(a)

the system must primarily be a system through which securities transfer orders are effected; and

(b)

the designating authority must consider that designation is required on grounds of systemic risk.

F2(5)

An arrangement entered into between interoperable systems shall not constitute a system.

Annotations

Textual amendments

F1: Sch. para. 1(1) omitted (31.12.2020) by virtue of The Financial Markets and Insolvency (Amendment and Transitional Provision) (EU Exit) Regulations 2019 (S.I. 2019/341), regs. 1(3), 10(a) (with reg. 21) (as amended by S.I. 2020/1301, regs. 1, 3, Sch. para. 23(b) and with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
F2: Sch. para. 1(5) inserted (6.4.2011) by The Financial Markets and Insolvency (Settlement Finality and Financial Collateral Arrangements) (Amendment) Regulations 2010 (S.I. 2010/2993), regs. 1, 2(17)(a) (with reg. 3)