Article 3.3.1

1.       Market intermediaries shall observe these Rules, the Instructions, the Notice and any other technical and operational documents accompanying the Rules and the Instructions, including Service Manuals.

Market intermediaries shall maintain conduct based on principles of correctness, diligence and professionalism in their relations with market counterparties, obligations towards Borsa Italiana and use of the trading systems.

2.       Market intermediaries shall promptly notify Borsa Italiana of any circumstances of which they are aware, including technical problems with their systems, that prejudice or might prejudice their compliance with the Rules.

3.       Market intermediaries shall be liable vis-à-vis Borsa Italiana for the conduct of their employees and collaborators. Conduct by traders that violates the Rules shall be considered as the conduct of the intermediary.

4.       Market intermediaries shall refrain from acts that may prejudice the integrity of the markets. Inter alia they may not:

a)      commit acts that are likely to give a false or misleading impression to other market participants;

b)      commit acts that may impede market makers, IDEM specialists, specialists in the Star segment, MTA specialists, MIV specialists, ETFplus specialists, TAH specialists, SeDeX specialists or MOT specialists in fulfilling their commitments;

c)      carry out sham transactions, whose objective is not to transfer ownership of the financial instruments traded or to modify their exposure to the market;

d)      carry out, directly or through a nominee, transactions under a prior agreement for the execution and offsetting thereof;

e)      trade financial instruments that Borsa Italiana has suspended from trading with an order specifying that the suspension is for a fixed period, or have such instruments traded. In such cases Borsa Italiana may authorise the trading of the suspended financial instruments on the basis of the objective criteria established in the Instructions. Authorisation shall be granted for each individual transaction.

5.       On the expiration days of derivative contracts, market intermediaries are required to enter orders in the MTA market for financial instruments underlying derivative contracts relative to the partial or complete closing out of arbitrage transactions, volatility trading or hedging transactions within the time limit established in the Instructions.

6.       Market intermediaries may enter and modify the orders referred to in paragraph 3 beyond the time limit established in the Instructions provided their characteristics with regard to price, quantity and method of execution are such that they do not increase the absolute value of the difference between the theoretical opening price and the last control price of the individual instruments to which they refer.

7.       Market intermediaries shall collect the orders of their customers in time to comply with the time limit referred to in paragraph 5.

8.       Market intermediaries must put effective forms of control in place to monitor their contractual positions and avoid situations likely to hinder orderly trading and the regular settlement of contracts in the settlement service. Intermediaries must implement strategies to ensure the settlement of contracts. If they find they are unable to settle contracts on a financial instrument within the prescribed time limits, intermediaries may make new sales of such instrument for own or customer account only if they have forms of cover that ensure the availability of the financial instruments on the settlement day for the transactions.

9.       Intermediaries may not accept orders involving instruments traded in the professional segment of the MIV market that do not come from professional investors, except for sell orders coming from shareholders as evidenced by the shareholder register or other notifications received and/or available to the issuer at the date of transfer of an investment company or a real estate investment company to the professional segment. This exception shall apply only to shares of the investment company or the real estate investment company held at the date of the transfer to the professional segment and exclusively for sales. Without prejudice to Article 3.4.1 et seq. of the Rules, Borsa Italiana shall not verify whether investors are qualified to operate in the professional segment.