Q&A · ESMA
Hedge exemption
Answered
Read the official text on the ESMA website(opens in a new tab)AI-generated Summary
Positions approved as risk-reducing under a hedging exemption fall outside the position limit regime and cannot also be netted against speculative positions, which would count their benefit twice.
Details
| Reference | ESMA_QA_1278 |
|---|---|
| Issuer | ESMA |
| Published | 23 Sept 2022 |
| Answered | 23 Sept 2022 |
| Submitted | 23 Sept 2022 |
| ESMA topics | Position limits |
| Earlier Q&A document | ESMA70-872942901-36 Commodity derivatives, Position limits, Q&A11 |
Provisions it relates to
- Article 57 MiFID II · Position limits in commodity derivatives and position management controls in commodity derivatives and derivatives of emission allowancesInferred · 90%
- MiFID II (whole act)Explicit reference