23. Article 12 of the BMR specifies the conditions for a methodology to be used by an administrator for determining a benchmark. Recital 17 of the BMR mentions that ''An index is calculated using a formula or some other methodology on the basis of underlying values. There exists a degree of discretion in constructing the formula, performing the necessary calculation and determining the input data which creates a risk of manipulation. Therefore, all benchmarks sharing that characteristic of discretion should be covered by this Regulation […]''.
24. Article 5(3) of the ESAs' review states that ''ESMA shall develop draft regulatory technical standards to specify the conditions to ensure that the methodology referred to in paragraph 1 [of Article 12 of the BMR] complies with points (a) to (e) of that paragraph.''
25. Pursuant to Article 12(1) of the BMR, the RTS should therefore specify the conditions to ensure that a methodology:
a. is robust and reliable;
b. has clear rules identifying
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