ASIC Market Integrity Rules (ASX Market) 2010 - LexisNexis

LexisNexis ASIC Market Integrity Rules (ASX Market) 2010Part 5.3 Large Order facilitation5.3.1 Futures Market Contracts—Action a Market Participant may take wheninsufficient opposite orders(1) This Part 5.3 applies only to orders to deal in Futures Market Contracts.(2) Where a Market Participant receives a Large Order from a client and there areinsufficient opposite orders in the Central Orderbook at that time to satisfy that order:(a)(b)(c)the Market Participant may, with the written authority of the client, withholdtransmission of the Large Order and solicit counterparties, disclose the relevantinstructions and aggregate opposite orders from other clients;when the Market Participant has solicited other counterparties under paragraph (a), theMarket Participant must enter the Large Order into the Central Orderbook (or, wherethe counterparty orders are orders of other clients of the Market Participant, effect aCrossing in accordance with the Market Operating Rules); andduring the period in which the Market Participant solicits orders under paragraph (a)and until the Large Order has been entered or executed as a Crossing under paragraph(b), the Market Participant must not enter an opposite order.Maximum penalty: $100,0005.3.2 Application(1) For the purposes of this Part 5.3:(a)(b)“Large Order” means an Order for a number of Futures Market Contracts that isgreater than or equal to the number set out in subrule (2); andwhere the Market Participant is a body corporate, a Related Body Corporate and adivision of the Market Participant other than its futures division will each be regarded as“clients”.(2) For the purposes of subrule (1):(a)(b)(c)(d)for Futures Market Contracts which are Futures Market Contracts over an UnderlyingIndex (other than Futures Market Contracts referred to in paragraph (b)), 750 contracts;for Futures Market Contracts which are Futures Market Contracts over the UnderlyingIndex which is known as the S&P/ASX 200 Property Trust Index Futures, 50 contracts;for Futures Market Contracts which are Futures Market Contracts over an UnderlyingCommodity which is wool, 100 contracts;for Futures Market Contracts which are Futures Market Contracts over an UnderlyingCommodity which is grain, 200 contracts.Note: There is no penalty for this Rule.Copyright Australian Securities and Investments Commission. Reproduced with permission.