Taken from the TSX Venture Exchange Corporate Finance Manual, Policy 3.4.

http://www.tmx.com/en/pdf/Policy3-4.pdf

2.1 Issuers are often encouraged to ensure that someone is prepared to provide a "market-making" function for the Issuer’s securities. Although the term "market-making" is commonly used in the securities industry, this activity is not referred to in Canadian Securities Laws, nor is it specifically recognized by any Exchange by-laws, Rules or policies.

2.3 Proper market-making activity corrects temporary imbalances in the supply of and demand for an Issuer’s securities. The market should be allowed to rise and fall naturally, with the market-making activity operating primarily to smooth out these imbalances and facilitate an orderly market. Although a Person involved in market-making is not expected to ignore his or her economic self-interest or be precluded from also holding securities for investment purposes, he or she should normally be selling into a rising market and buying into a falling market. If the price stabilizes and there are sufficient buyers and sellers on both sides of the market, market-making activities should generally not occur at a level that materially affects the market.