Direct electronic access

(1) An investment services undertaking that offers direct electronic access to a trading venue must
1. assess the suitability of the clients using this service before granting access, and review this regularly,
2. set out, in a written agreement, the rights and obligations of the client and of the investment services undertaking arising in connection with this service, whereby the investment services undertaking's responsibility under this Act may not be transferred to the client,
3. set appropriate trading and credit thresholds for trading by these clients,
4. monitor the trading of these clients in order to
a) ensure that the clients do not exceed the thresholds set under number 3,
b) ensure that trading complies with the requirements of Regulation (EU) No 596/2014, this Act, and the rules of the trading venue,
c) be able to identify trading conditions that create disorderly trading, or conduct that may indicate market abuse and that must be reported to the competent authority, and
d) ensure that trading does not give rise to risks for the investment services undertaking itself.
(2) An investment services undertaking that offers direct electronic access to a trading venue notifies this to the Bundesanstalt and to the competent authorities of the trading venue at which it offers direct electronic access. The Bundesanstalt may require the investment services undertaking to provide, regularly or at any time on request, a description of the systems and controls referred to in subsection (1) and evidence of their application. At the request of a competent authority of the trading venue to which an investment services undertaking offers direct electronic access, the Bundesanstalt forwards this information to that authority without delay.
(3) The investment services undertaking must ensure that records relating to the matters referred to in this section are kept for at least five years, and must ensure that they are sufficient to enable the Bundesanstalt to review compliance with the requirements of this Act.