S.L. 345.23 Art. 3Requirements applicable to investment firms engaging in algorithmic trading.

A Maltese investment firm that engages in algorithmic trading shall have in place:

(a) effective systems and risk controls suitable to the business it operates to ensure that its trading systems are resilient and have sufficient capacity in accordance with the requirements stipulated in Chapter II of the DORA Regulation, are subject to appropriate trading thresholds and limits and prevent the sending of erroneous orders or the systems otherwise functioning in a manner that may create or contribute to a disorderly market;

(b) effective systems and risk controls to ensure the trading systems cannot be used for any purpose that is contrary it is connected; and

(c) effective business continuity arrangements to deal with any failure of its trading systems, including ICT business continuity policy and plans and ICT response and recovery plans established in accordance with Article 11 of the DORA Regulation, and shall ensure its systems are fully tested and properly monitored to ensure that they meet the general requirements stipulated in this regulation and any specific requirements stipulated in Chapters II and IV of the DORA Regulation.