What powers do regulators have over MAR?

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Regulators have specific powers under the Market Abuse Regulation (MAR) to ensure fair and transparent trading in financial markets. Among these powers, the ability to impose sanctions and publish violations is crucial for maintaining market integrity. This enforcement action serves as a deterrent against misconduct, helping to uphold investor confidence and promote a level playing field. When violations of MAR are identified, regulators can take disciplinary measures against individuals or firms, which may include fines, bans, or other penalties. Further, the publication of these violations informs the market of the consequences of unethical behavior, thereby enhancing compliance among market participants.

The other options, while they touch on various aspects of market operations, do not correctly represent the specific powers of regulators under MAR. For example, increasing market liquidity is generally a result of various market conditions and actions, rather than a direct power of regulators. Delegating authority to private firms can happen in some contexts but is not a fundamental power outlined in MAR. Facilitating transactions without monitoring contradicts the regulatory intent of MAR, which emphasizes oversight to prevent market abuse.

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