Ordinance of the Swiss Financial Market Supervisory Authority on Financial Market Infrastructures and Market Conduct in Securities and Derivatives Trading

(Art. 123 para. 2 FMIA)

¹When cal­cu­lat­ing their ac­quis­i­tion po­s­i­tions (Art. 14 para. 1 let. a) and sale po­s­i­tions (Art. 14 para. 1 let. b) banks and se­cur­it­ies deal­ers may not, un­der SESTA, factor in equity se­cur­it­ies and equity de­riv­at­ives which they hold:

a.

in their trad­ing port­fo­lio, provided their share does not reach 5% of vot­ing rights;

b.

as part of se­cur­ity loans, se­cur­ity trans­fers or repo trans­ac­tions provided their share does not reach 5% of vot­ing rights;

c.

only for up to two trad­ing days and ex­clus­ively for in­voicing or pro­cessing trans­ac­tions.

²The cal­cu­la­tion un­der para­graph 1 is only au­thor­ised provided there is no in­ten­tion to ex­er­cise the vot­ing rights for these units or to in­flu­ence the is­suer's¹ busi­ness con­duct in any oth­er way, and the vot­ing share does not ex­ceed 10% of the vot­ing rights.

³ Equity se­cur­it­ies for in-house funds un­der Art­icle 4 CISA² are to be coun­ted with the bank's or se­cur­ity deal­er's pro­pri­et­ary hold­ings.