# Organized trading facility (OTF)

- Canonical URL: https://www.gerhardmerk.de/organized-trading-facility-otf
- Post ID: 593961
- Modified: 2023-07-25T21:12:42+00:00
- Language: en

## Definition

According to reliable estimates, at the beginning of 2014, ninety percent of derivatives and around thirty percent of equities worldwide were not traded on exchanges or comparable market-transparent trading platforms. Many dangers are seen in these largely opaque transactions. Above all, they are a breeding ground for financial crises. In view of the lack of information, neither the providers nor the buyers nor the supervisory authorities are in a position to correctly assess what is happening on these markets and to make economically sensible decisions. As part of the recast of the Markets in Financial Instruments Directive, therefore, an obligation to trade via OTFs is to be made mandatory for the EU from 2017 at the latest. - See counterparty, central, credit derivatives, marketability, market maker, multilateral trading facility. - Cf. ECB Annual Report 2012, p. 134 (ECB welcomes this market structural improvement), BaFin Annual Report 2012, p. 64 (OTFs are to be subject to the same regulations worldwide as MTFs), and the respective BaFin Annual Report, chapter "International." Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

## Machine-readable

- Generator: Merk Knowledge 1.1.1