Upcoming change: Exercise and Expiration settlement flows to Prematch. Optional testing phase for Nasdaq Clearing members


Nasdaq will, based on a decision by the Swedish Securities Dealers Association (SSDA), implement a change to the exercise and expiration flow so that instructions are sent to Prematch at Euroclear Sweden. This change will be implemented in production on April 1st 2019.

 

Nasdaq Clearing AB (Nasdaq) would like to invite our members to participate in an optional test phase to ensure market readiness for this change.  Please ensure that your post trade operations is aware of this notice.

 

After the change members should send instructions originating from exercise and expiration of single stock derivatives (E&E flow) to Prematch instead of AM at ESW. Since Prematch has different matching criterias it is important to ensure that settlement details are correct to prevent matching failures post April 1st.

 

The matching rules for E&E flow via Prematch will be implemented in accordance with the SSDA market practice.

 

The matching details towards Nasdaq can be found in the table below

DEAG/REAG BUYR/SELL
OMECSESSNOC  OMECSESSNOC 

 

Nasdaq will have a scenario based testing period scheduled between Feb 12th and Feb 26th to test the E&E flow through Prematch.

We encourage all members to participate in these tests, If you would like to participate in the testing or have any questions please contact Nasdaq to receive further information: clearing@nasdaq.com