• Negotiated deals

A negotiated deal can only be made for equities and debt-type securities, in the free period of the security’s trading. A negotiated deal is not listed in the Order Book, it is a bilateral deal on the sale and purchase of larger quantities of a security. Prior to the realisation of the deal, the buying and selling parties shall agree on the price, the quantity, the settlement time, which, in the case of equities, shall be within the period from the first to the seventh day after the transaction.

A condition for making a trade is that

• in the case of a product traded in forints, the value of the transaction shall be above 25 million forints;

• in the case of a product traded in EUR or USD, it shall exceed the value of 100,000 euros or dollars.

Another condition for the realisation of the transaction is that the price of the negotiated deal shall be, in comparison with the reference price of the security, within the same order limits as set for transactions generated in the Order Book.

Negotiated deals are disclosed on the market, but they have a special indicator to clearly indicate that the transaction was concluded outside the Order Book.

• Auction order

A buy or sell auction order can only be placed for equities and debt-type securities if the value of the order is a minimum of 500 million forints or the quantity of the securities involved in the order represents at least 3% of the quantity listed on the Exchange.

The brokerage firm placing the auction order shall indicate in the order which one of the two algorithms available for the transaction of counter-offers shall be applied.

In the case of a multiple-price algorithm, counter-order shall always be matched at the limit price indicated in  the order, with the exception of market orders, where transactions shall take place at the end of the auction, at the average price of the auction transactions.

In the case of an equilibrium price trade matching algorithm, the matching of the orders shall be based on the equilibrium price algorithm, thus each transaction shall have an identical price.