The European Securities and Markets Authority (ESMA) will publish the first results for the EU’s new “single” volume cap mechanism (VCM) on 9 October at 18:00, providing the dataset trading venues must use to determine whether the reference price waiver needs to be suspended for specific instruments. The single VCM caps trading conducted under the reference price waiver at 7% of the total aggregated EU trading volume over the last 12 months for each equity and equity-like financial instrument. Where the cap is exceeded, trading venues must suspend use of the waiver for the instrument for three months, basing the suspension decision on ESMA’s published VCM data. ESMA also reiterated that the previous double volume cap no longer applies.
European Securities and Markets Authority 2025-10-07
European Securities and Markets Authority to publish first results under the 7% single volume cap mechanism for reference price waivers
The European Securities and Markets Authority (ESMA) will release the first results for the EU's new single volume cap mechanism (VCM) on 9 October. The VCM limits trading under the reference price waiver to 7% of the total EU trading volume over the past 12 months for each equity and equity-like instrument. If exceeded, trading venues must suspend the waiver for three months based on ESMA's data, replacing the previous double volume cap.