Market abuse and Metric: Difference between pages

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Market abuse includes any misuse of confidential or non public information so as to attempt to gain a trading advantage.  
1. ''Noun''.  


A measure calculated as, or converted into, a number. 


Market abuse also encompasses:
The term is often used in the context of shareholder value management and risk management.
# Insider dealing.
# Improper disclosure.
# Manipulating transactions.
# Manipulating devices.
# Misleading dissemination.




For example trading in a company's shares whilst in the possession of inside information that a profits warning was about to be announced would be insider trading and therefore market abuse.
A value-based metric is a performance measure which is linked in a direct and understandable way with the creation of value for shareholders.


Risk metrics are quantified measures of risk.


====Legislation====


Legislation exists in most financial markets to specify the detail of what is prohibited as market abuse and within the EU this was covered by the Market Abuse Directive (Directive 2003/6/EC).
2. ''Adjective''.  


The Market Abuse Directive (MAD) was revised and replaced by MAD II which widens its scope to include new markets and instruments.
In a wider and non-financial context, the metric system of measurement is a decimal system based on the metre.


The Market Abuse Regulation (MAR) and the Directive on Criminal Sanctions for Market Abuse (CSMAD) form the legislative proposals which make up MAD II.


== See also ==
* [[Dashboard]]
* [[Net promoter score]]  (NPS)
* [[Risk management]]
* [[Shareholder value]]


MAD II came into force in July 2016.
[[Category:Financial_management]]
 
[[Category:Knowledge_and_information_management]]
 
[[Category:Planning_and_projects]]
==See also==
[[Category:The_business_context]]
* [[Confidential information]]
[[Category:Identify_and_assess_risks]]
* [[Fair market]]
[[Category:Manage_risks]]
* [[Insider dealing]]
[[Category:Risk_frameworks]]
* [[Market manipulation]]
[[Category:Risk_reporting]]
* [[UK MAR]]
[[Category:Treasury_operations_infrastructure]]
 
 
 
==Other links==
 
[http://www.treasurers.org/node/3244 ACT briefing note: The New Market Abuse and Disclosure Regime in the UK - A Guide for Listed Companies; 2005]
 
[http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32014R0596 MAR]
 
[http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32014L0057 CSMAD]
 
[[Category:Self_management_and_accountability]]
[[Category:Ethics]]
[[Category:Financial_risk_management]]

Revision as of 13:19, 15 May 2022

1. Noun.

A measure calculated as, or converted into, a number.

The term is often used in the context of shareholder value management and risk management.


A value-based metric is a performance measure which is linked in a direct and understandable way with the creation of value for shareholders.

Risk metrics are quantified measures of risk.


2. Adjective.

In a wider and non-financial context, the metric system of measurement is a decimal system based on the metre.


See also

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