What is one key function of the Market Abuse Regulation?

The key function of the Market Abuse Regulation (MAR) is to create a framework for 'market soundings'. This is an important mechanism that allows companies and investors to gauge interest in a potential transaction without triggering market abuse liability. Market soundings involve sharing non-public information with selected market participants to determine the appetite for certain securities before any public announcements are made. This process helps maintain market integrity and transparency while allowing issuers to prepare for potential offerings by assessing market conditions.

In contrast, extending market shares is not directly related to the regulations set forth by MAR, nor is transitioning from public markets to private—these aspects pertain more to business strategy rather than regulatory frameworks. Additionally, the notion of exempting all businesses from legal obligations contradicts the purpose of MAR, which is to ensure compliance with rules aimed at preventing market abuse and protecting investors. Thus, creating a 'market soundings' framework stands out as a vital role of the Market Abuse Regulation.