EU · MiFIR · TITLE II TRANSPARENCY FOR TRADING VENUES · CHAPTER 1 Transparency for equity instruments
Article 4 MiFIRWaivers for equity instruments
Lets competent authorities waive pre-trade transparency for equity instruments for reference price systems (subject to the volume cap in Article 5), negotiated transactions within the spread, in illiquid instruments or subject to conditions other than the market price, large-in-scale orders and orders held in an order management facility. Sets how the reference price is obtained and venues' monitoring duties, and requires notice to ESMA at least four months before a waiver takes effect, with an ESMA opinion.
Amendments and application dates
| Amending act | Change | Applies from |
|---|---|---|
| Regulation (EU) 2024/791 | Text amended | 28 Mar 2024 |
Level 2: delegated and implementing acts
- RTSIn forceLegal basis
AI summaryAmends RTS 2 (2017/583) and RTS 1 (2017/587) after the 2024 MiFIR review: removes request-for-quote and voice trading systems from non-equity pre-trade transparency, defines central limit order books and periodic auction systems, keeps some provisions for derivatives during the transition, and updates large-in-scale and other transparency rules for bonds, structured finance products, emission allowances and equity instruments. Parts apply from 2 March 2026.
- RTSIn forceLegal basis
AI summaryAmends RTS 1 (2017/587) on equity transparency: aligns non-price forming transactions with RTS 22, raises the pre-trade large-in-scale threshold and the size qualifying for 60-minute deferral for ETFs, adds pre-trade transparency rules for hybrid trading systems and shortens publication delays. Most changes apply from 1 January 2024.
- RTSIn forceLegal basis
AI summaryAmends and corrects RTS 1 (2017/587) so that systematic internalisers' quotes and price improvements in shares and depositary receipts must respect the tick sizes that apply on trading venues, to preserve a level playing field, and updates and corrects other provisions.
- RTSIn forceLegal basis
AI summaryRTS 1 on transparency for shares, depositary receipts, ETFs, certificates and similar instruments: defines non-price forming transactions, sets pre-trade transparency by trading system, the conditions for negotiated trade, large-in-scale and order management facility waivers, systematic internaliser quoting rules, and post-trade publication and deferrals, and covers the share trading obligation. Amended notably by Delegated Regulations 2019/442, 2023/944 and 2025/1246.
Level 3: ESMA Q&As, guidelines and opinions
- Q&AAnsweredESMA rulebook
AI summaryBefore it starts operating, or before it first admits or trades an equity or equity-like instrument, a trading venue must check whether the instrument is suspended under the single volume cap; it may still proceed, but must not allow trading under the reference price or negotiated transaction waivers until the suspension ends.
- Q&AAnsweredExplicit reference · 90%
AI summaryAsked whether Article 4(7) MiFIR lets competent authorities grandfather MiFID I pre-trade waivers for two years after 3 January 2018. ESMA deleted the question on 16 October 2024.
- Q&AAnsweredExplicit reference · 90%ESMA_QA_1493: Minimum tick size regime under Article 49 of MiFID II - Pre-trade transparency waivers
AI summaryThe minimum tick size regime applies to all orders on trading venues, including resting limit orders and orders in order management systems, but not to trades under the reference price waiver, negotiated transactions, or large-in-scale orders matched at the mid-point.
- Q&AAnsweredInferred · 95%
AI summaryA share traded on several venues or in several currencies is still one financial instrument; under the reference price waiver the price is derived from the venue of first admission or the most relevant market and may be converted into another currency using a reliable, at least daily exchange rate set out in the venue's rulebook.
- Q&AAnsweredInferred · 90%
AI summaryFor the negotiated-transaction waiver for illiquid equity instruments under Article 4(1)(b)(ii) MiFIR, the trading-halt parameters venues set under Article 48(5) MiFID II should serve as the maximum permitted deviation from the reference price; trades outside them should not be allowed under the waiver.
- Q&AAnsweredExplicit reference · 90%
AI summaryFor negotiated transactions under Article 4(1)(b)(i) MiFIR, the current volume-weighted spread is the spread between volume-weighted bid and offer prices on the venue's public order book, aggregated to the size of the negotiated trade; orders benefiting from a pre-trade waiver are excluded.
- OpinionPublishedESMA rulebook
AI summaryESMA opinion of 16 October 2024 (ESMA70-155-6641) summarising the positions behind its opinions on national authorities' pre-trade transparency waivers under Articles 4 and 9 MiFIR, such as reference price, negotiated transaction, large-in-scale and order management facility waivers and how different trading systems qualify; it adds no new guidance and also covers the treatment of subscription rights.
- Q&ALegacy Q&A documentESMA rulebook
AI summaryESMA's consolidated legacy Q&A document (ESMA70-872942901-38, final version 13 October 2023) on market structure topics, covering data disaggregation, direct electronic access and algorithmic trading, the tick size regime, multilateral and bilateral systems (including OTFs and systematic internalisers) and access to CCPs and trading venues. It is no longer updated; later Q&As are in ESMA's Q&A tool.
- Q&ALegacy Q&A documentESMA rulebook
AI summaryESMA's consolidated legacy Q&A document on MiFID II and MiFIR transparency (final version 27 October 2023, printed with the reference ESMA70-1562901-35), covering equity and non-equity transparency, pre-trade waivers, the double volume cap, the systematic internaliser regime, data reporting services providers and third-country issues. It is no longer updated; later Q&As are in ESMA's Q&A tool.
Commentary
No law-firm commentary is linked to this provision yet.
219 more documents relate to MiFIR as a whole without naming an article.
UK counterpart
- Article 4 UK MiFIR · Waivers for equity instruments
Revoked from 30 Mar 2026 by Financial Services and Markets Act 2023.
Revoked and restatedCurated · 90%UK article revoked from 30 Mar 2026 by Financial Services and Markets Act 2023; restated in FCA rules: MAR 11A (FCA 2025/55, PS25/17).
Restating Handbook provisions (27)
Curated · 90%- MAR 11A.1.1G Purpose
- MAR 11A.1.2R Application
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- MAR 11A.4.4G
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- MAR 11A.5.1R
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Version history
- From 28 Mar 2024
- From 1 Jul 2016 to 28 Mar 2024
- From 2 Jul 2014 to 1 Jul 2016
Each entry is a consolidated version of the act on EUR-Lex in which this provision appears. The text itself is on the official site.