The AFM may use this authority:
- if there is significant cause for concern about investor protection
- if the orderly functioning and integrity of financial markets or commodity markets or the stability of the financial system or part thereof is threatened in at least one member state
- if a derivative has a negative effect on the price formation mechanism in the underlying market.
The AFM may only use these interventions if:
- there are no other existing rules to tackle these threats
- it would not be better to use supervision or enforcement to deal with these threats
- the intervention measure is proportionate and takes into account the nature of the threat, the level of knowledge of the investors or participants concerned and the anticipated effect.