514.This Part provides for the regulatory regime for recognised investment exchanges and clearing houses. These recognised bodies are exempt from the need to be authorised. This regime is similar to that under the FS Act 1986.
515.Chapter I of this Part:
	gives the Treasury the power to set the requirements that such bodies have to meet in order to be recognised;
	sets out the application procedures and supervisory arrangements for recognised bodies, including conferring powers to revoke recognition and to direct recognised bodies to take steps to meet the recognition requirements;
	allows the Treasury, jointly with the Secretary of State, to extend special protection from insolvency law to organisations clearing certain non-investment contracts.
516.Chapter II provides for competition scrutiny of recognised bodies.  This places a duty on the DGFT, and gives him powers, to investigate and report to the Competition Commission on any significantly adverse effects on competition of these bodies’ rules, guidance and practices, or any exploitation of a strong market position.  It allows the Treasury, on receipt of a further report from the Commission, to direct, through the Authority, that appropriate changes are made to such rules, guidance or practices.  Chapter III disapplies the general domestic competition law as it affects the matters covered by the Act regime.  Chapter IV contains definitions of key terms.
Commentary on Sections Part Xviii: Recognised Investment Exchanges and Clearing Houses