Eurex Trader Practice Exam 2025 – Complete Study Resource

The statement regarding the allocation of the Algo ID being done by the exchange is incorrect. In trading systems, particularly those governed by regulations like MiFID II, the responsibility for generating or assigning an Algorithm ID typically falls to the firms utilizing the algorithms rather than the exchange itself. This ensures that the participants maintain control over the identification of their trading algorithms for compliance and operational integrity.

In this context, the other statements are true. Participants are indeed required to confirm that their algorithms comply with MiFID regulations, ensuring regulatory adherence and operational standards are met. The execution identifiers, which facilitate tracking and reporting of trades, must include the algo ID, as this helps regulators and the market maintain transparency and accountability. Finally, Eurex must also ensure that data identifying the algorithm is reported to BaFin, as part of regulatory compliance to ensure that trading practices maintain market integrity and adhere to financial regulations.