Eligibility criteria for the primary dealer network
Article 4
Credit institutions and investment firms fulfilling the following criteria shall be eligible for membership of the primary dealer network: (a) being a legal entity established and having its head office in the Union or in a European Economic Area country; (b) being supervised by a Union competent authority and being authorised to carry out the business as either of the following: (i) a credit institution in accordance with Directive 2013/36/EU of the European Parliament and of the Council ( 10 ) ; or (ii) an investment firm authorised to carry out the activity of underwriting of financial instruments or placing of financial instruments on a firm commitment basis in accordance with Directive 2014/65/EU; and (c) being a member of a European sovereign or supranational primary dealer network established for the purpose of serving as counterparty of a Member State or of a European supranational issuer. For the purpose of this Decision a European sovereign or supranational primary dealer network shall be understood as either of the following entities: (i) a network, group or organised system of financial institutions that is appointed by a sovereign or supranational issuer to serve as market counterparty in the framework of public debt management, whose membership typically entails participation in public debt securities issuances through auctions; (ii) a primary dealership mechanism that is substantially equivalent to the network, group or organised system referred to in point (i).