As previously announced, NASDAQ OMX Commodities Europe (the “Exchange”) together with NOS Clearing ASA introduces freight contracts and a Block Trade Facility which permits the Exchange to designate any of the freight contracts listed for trading as eligible for block trading (each, a “Block Trade Contract). These new features will be available for exchange members who are also members of NOS Clearing ASA as of 29 April 2013.
To reflect the changes described above, NASDAQ OMX Commodities Europe (the “Exchange”) has updated the Trading Rules. The following documents are affected:
- Trading Rules – General Terms
- Trading and Clearing Appendix 1 – Definitions
- New Trading Appendix 2 A – Freight Supplement– Freight and Fuel Oil Contract Specifications
- Trading Appendix 4 – Trading Schedule
- Trading and Clearing Appendix 6 – Market Conduct Rules
- New Trading Appendix 8 – Block Trade Facility Procedure
- New Trading Agreement C – Block Broker Membership Agreement
These amendments and additions will be implemented and come into effect on 29 April 2013. Below you will find a description of the amendments.
- Trading Rules – General Terms
The sections on exchange trading eligibility and settlement of fees and transactions and the confidentiality and information sharing clause have been updated for the Block Broker Membership, see the Trading Rules General Terms sections 4.1, 5.4 and 11.2.
- Trading and Clearing Appendix 1 – Definitions
The definition list has been updated with terms covering the Block Trades and Block Trade Facility and the terms for Exchange Transactions, Exchange Members, Exchange Listed Products, OTC Trading and Trading System have been amended accordingly. Please note that the term Clearinghouse is used also for NOS Clearing ASA in respect of any freight of fuel oil contracts.
- New Trading Appendix 2 A – Freight Supplement– Freight and Fuel Oil Contract Specifications
A new Trading Appendix 2 A – Freight supplement – is being implemented for the freight contracts listed on the Exchange. It covers the individual contract specifications as well as a general part, special definitions and a quotation list. The general part of the existing Joint Appendix 2 Contract Specification does apply to freight and fuel oil contracts, however with the deviations set out in the Freight Supplement. For clearing purposes the Freight Supplement– Freight and Fuel Oil Contract Specifications must be supplemented by the applicable rulebook of NOS Clearing ASA.
- Trading Appendix 4 – Trading Schedule
The Trading Schedule has been amended with a new section 13 with detailed regulation of Block Trades. Section 9, trading errors applies equally to Block Trades in the event of a claim for trading error involving a Block Trade.
- Trading and Clearing Appendix 6 – Market Conduct Rules
Market Conduct Rules section 2 is amended with the reporting obligations for Market Participants trading Block Trades.
- Trading and Clearing Appendix 7 – Fee List
The Fee List has been updated for freight and fuel oil contracts. Please note that any settlement of fee for membership and Exchange Transactions from Block Broker Members shall be carried out through the applicable rulebook of NOS Clearing ASA ref. Trading Rules General Terms section 5.4.
- New Trading Appendix 8 – Block Trade Facility Procedure
The new Block Trade Facility Procedure set out the procedures for and availability of Block trade Facility in addition to the reporting and disclosure requirements for Block Trades.
- New Trading Agreement C – Block Broker Membership Agreement
Upon entering into the Block Broker Membership Agreement, , the Member obtains the right to access the Block Trade Facility to enter Block Trade(s) as an Exchange Member pursuant to the terms and conditions of the Trading Rules. The Trading Rules apply to Block Broker Members unless to the extent specifically otherwise stated.
* * *
- Corrections of typing errors without material impact
We have taken the opportunity to correct some typing errors and improved the wording and expressions without any material impact on the rules.
* * *
For the updated rulebooks and appendices please see:
http://www.nasdaqomx.com/commodities/Marketaccess/legalframework/upcomingchangestorules/
For further information, please contact NASDAQ OMX Commodities:
Georg Aasen, Vice President Financial Market, phone +47 6752 8076, georg.aasen@nasdaqomx.com
Mette Steinsland, Associate Legal Counsel, phone +47 6752 8071, mette.steinsland@nasdaqomx.com
Press contact:
Sara Aadnesen, Director Corporate Communication, phone +47 9060 0759, sara.aadnesen@nasdaqomx.com
About NASDAQ OMX
The inventor of the electronic exchange, The NASDAQ OMX Group, Inc., fuels economies and provides transformative technologies for the entire lifecycle of a trade - from risk management to trade to surveillance to clearing. In the US and Europe, we own and operate 24 markets, 3 clearinghouses and 5 central securities depositories supporting equities, options, fixed income, derivatives, commodities, futures and structured products. Able to process more than 1 million messages per second at sub-40 microsecond speeds with 99.999% uptime, our technology drives more than 70 marketplaces in 50 developed and emerging countries into the future, powering 1 in 10 of the world’s securities transactions. Our award-winning data products and worldwide indexes are the benchmarks in the financial industry. Home to approximately 3,400 listed companies worth $5.1 trillion in market cap whose innovations shape our world, we give the ideas of tomorrow access to capital today. Welcome to where the world takes a big leap forward, daily. Welcome to the NASDAQ OMX Century. To learn more, visit www.nasdaqomx.com. Follow us on Facebook (http://www.facebook.com/NASDAQ) and Twitter (http://www.twitter.com/nasdaqomx). (Symbol: NDAQ and member of S&P 500)
About NASDAQ OMX Commodities
NASDAQ OMX Commodities is the brand name for the NASDAQ OMX Group’s worldwide suite of commodity related products and services. The NASDAQ OMX Commodities offerings include power, natural gas and carbon emission markets and clearing services. NASDAQ OMX Commodities is a trademark of the NASDAQ OMX Group, Inc.
NASDAQ OMX Commodities Europe is the trade name of NASDAQ OMX Oslo ASA which is authorized as a commodity derivatives exchange by the Norwegian Ministry of Finance and supervised by the Norwegian Financial Supervisory Authority. All trades with NASDAQ OMX Commodities Europe are subject to clearing with NASDAQ OMX Clearing.
NASDAQ OMX Clearing is the trade name of NASDAQ OMX Stockholm AB which is authorized and supervised as a multi-asset clearinghouse by the Swedish Financial Supervisory Authority in Sweden as well as authorized to conduct clearing operation in Norway by the Norwegian Ministry of Finance.
For more information, visit www.nasdaqomx.com/commodities
NASDAQ OMX's Cautionary Note Regarding Forward-Looking Statements
The matters described herein contain forward-looking statements that are made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about NASDAQ OMX's products and offerings. We caution that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements involve a number of risks, uncertainties or other factors beyond NASDAQ OMX's control. These factors include, but are not limited to factors detailed in NASDAQ OMX's annual report on Form 10-K, and periodic reports filed with the U.S. Securities and Exchange Commission. We undertake no obligation to release any revisions to any forward-looking statements.
This document is being directed solely at and may only be communicated to persons: (i) who have professional experience in matters relating to investments as defined in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "FPO") or, (ii) who are high net worth companies, unincorporated associations and trustees of high value trusts within Article 49(2)(a)-(d) of the FPO, or (iii) to whom it may otherwise be lawful to distribute it (all such persons together being referred to as "Relevant Persons"). Any investment activity to which this document relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.