MAD
Market Abuse Directive
Definition
The predecessor EU directive to MAR that established the initial framework for prohibiting insider dealing and market manipulation. MAD II (Directive 2014/57/EU) introduced criminal sanctions for market abuse offences, complementing the administrative sanctions under MAR.
Regulatory Context
While MAR replaced the original MAD as the primary market abuse framework, MAD II remains in force as it requires member states to provide for criminal penalties. Together, MAR and MAD II form the EU's market abuse regime.