The “discretionary trading activity over treasury shares” is a wide common activity carried out by listed companies to engage purchases and sales of their own shares on entirely discretionary basis (with no commitment from the listed company to carry out purchases or sales and no expectation from the market that such activity will occur at any given price or for a given volume) For “discretionary trading activity over treasury shares” competent authorities may give their permission in accordance with the criteria set out in Article 78 CRR in advance for a certain predetermined amount, subject to Article 29(3) of the RTS on Own Funds. In accordance with Article 28(2) of the RTS and Q&A 1352, the predetermined amount for which the competent authority has given its permission should be deducted from the moment the authorisation is granted, as sufficient certainty about the repurchase is deemed to exist from that moment. If an authority has already granted permission in advance for “discretionary trading activity over treasury shares”, the purchases of own shares made under the authorization must comply with the discretionary trading purpose indicated in the application submitted to the competent authority (i.e. shares shall only be purchased for discretionary trading purposes by a separated area taking decisions under autonomous basis). The positive balances generated by the discretionary trading transactions are actively managed in order not to exceed the pre-authorized limit. These balances could be managed in various ways, including direct sale, distributions to shareholders, redemption by capital decrease, delivery or assignment of shares to comply with previously acquired commitments (e.g. exchangeable securities) or to employees, among others. Confirmation is needed that no additional permission should be required to pass on to employees the shares previously purchased under and with the objective of the pre-authorization granted.