Buy Backs
The buy-back functionality allows Issuers to buy back securities from the market
electronically via the Telematico System, thus gaining efficiency and transparency
by using a centralized trading platform.
The buy-back operations is structured in a way that only
the Issuer and the Primary Dealers can access the market
view and participate to the buy back operations.
With regards to the trading functionalities, the
Issuer, is allowed to insert proposals only on
the bid side while Primary Dealers are allowed
to insert proposals only on the ask side. While
for orders, the issuer can lift offers from the
Primary Dealers and the Primary dealers can hit
bids from the Issuer as well as lift offers from
the other Primary Dealers.
Buy Back operations take place in the Treasury
Operations Market view.
On the day when the buy-back starts, the selected
security is listed on the system with the bond
type name giving an indication of the country and
the type of operation (i.e. BBB Belgium Buy Back
).
This operation also benefits from the post trading
functionality of the Telematico system.
The Issuing Agency decides which securities shall
be subject of Buy Back operations.
They also receive all real time data and statistics
related to the bond subject of the buy-back operation
to enable them to monitor in real time the quantity
they have traded on that bond. Primary Dealers,
on the other hand, see only the information related
to their own trading activity.
The buy-back facility is currently available on
MTS Belgium, MTS Finland, MTS Denmark and MTS Portugal. |
