Rule Update - Options Trading Rules of the Stock Exchange 
29/06/2017 
 

Amendments for the purpose of reflecting the corporate re-branding from “HKEx” to “HKEX” (effective from 17 July 2017)   (Marked-up version of amendments attached for information)

Amendments for the purpose of (i) allowing ETF market makers or liquidity providers to hold or control excess stock options contracts;(ii) implementing the revised stock option position limit model; and (iii) introducing new risk monitoring measures on certain Market Maker Affiliates (effective from 1 June 2017)   (Marked-up version of amendments attached for information)

Amendments for the implementation of participant admission appeal procedures (effective from 31 March 2017)   (Marked-up version of amendments attached for information)

Amendments for the purposes of (i) amending the spread and sell side quotes required of market makers for options with a minimum price fluctuation of HK$0.001 or RMB0.001, and (ii) waiving trading fees for options with contract premium of HK$0.01 or RMB0.01 or below (effective from 1 November 2016)   (Marked-up version of amendments attached for information)

Amendments to introduce a pre-trade risk management system for the derivatives market (effective from 11 April 2016)   (Marked-up version of amendments attached for information)

Amendments to enable SEHK to enter into arrangements with overseas regulators where the SEHK board considers that the arrangements are conducive to the object of the market and to prescribe conditions for the use of such arrangements by options exchange participants (effective from 27 August 2015)   (Marked-up version of amendments attached for information)

Amendments to align them with the new Companies Ordinance (Chapter 622 of the Laws of Hong Kong) (effective from 26 March 2014)   (Marked-up version of amendments attached for information)

Amendments to (i) introduce a central gateway for connection to HKATS following the HKATS upgrade to the Genium INET Platform (the “Genium Upgrade”);(ii) introduce the Tailor-Made Combination function on HKATS to replace the existing Bulletin Board and Non-Standard Combination functions; and (iii) reflect the operational changes in HKATS following the Genium Upgrade (effective from 15 October 2013)   (Marked-up version of amendments attached for information)

Amendments to (i) revise the current 2-tier trading fee structure to a new 3-tier trading fee structure; (ii) introduce primary market makers; (iii) reduce minimum trading spread of selected stock options;(iv)  introduce the forth calendar expiry month contracts; and (v) make miscellaneous changes for housekeeping purposes (effective from 2 May 2013)   (Marked-up version of amendments attached for information)

Amendments to (i) facilitate the implementation of various platform infrastructure initiatives that are being undertaken by Hong Kong Exchanges and Clearing Limited, including the construction of its Next Generation Data Centre and upgrade of its securities and derivatives network, SDNet 2.0; (ii) ensure consistency in the contingency procedures for trading in the stock options market operated by SEHK with those for trading in the derivatives market operated by Hong Kong Futures Exchange Limited; and (iii) clarify SEHK’s power to delete invalid block trades (effective from 26 March 2012)   (Marked-up version of amendments attached for information)

Amendments to facilitate the trading of RMB denominated option classes (effective from 28 September 2011)   (Marked-up version of amendments attached for information)

Amendments to extend trading hours (effective from 7 March 2011)  (Marked-up version of amendments attached for information)

Amendments to (i) improve the third party clearing arrangements for Options Trading Exchange Participants by removing the one-day prior written notice period requirement for the termination of a Clearing Agreement; and (ii) effect minor housekeeping amendments (effective from 22 November 2010)   (Marked-up version of amendments attached for information)

Amendments to the Options Trading Rules to include the posting of information on the HKEx website as a means of communication between The Stock Exchange of Hong Kong Limited and its participants (effective from 20 September 2010)   (Marked-up version of amendments attached for information)

Amendments to the Options Trading Rules in relation to new stock option classes with contract size other than one board lot of underlying shares (take effect from 24 June 2010)

Amendments to the Options Trading Rules in relation to the revised permissible price range for block trades (take effect from 24 May 2010)

Amendments to the Options Trading Rules in relation to increasing the number of option series assigned to a market maker providing continuous quotes (take effect from 1 February 2010)

Amendments to the Options Trading Rules in relation to Special Block Trade Margin (take effect from 8 February 2010)

Amendments to the Options Trading Rules in relation to streamlining the provision of information by the Exchange Participants (take effect from 1 June 2009)

Amendments to the Options Trading Rules in relation to revising the minimum quote size requirements for stock options market makers (take effect from 2 July 2008)

Amendments to the Options Trading Rules in relation to streamlining the approval and registration process of Responsible Officers and Authorized Persons of Exchange Participants (take effect from 20 June 2008)

Amendments to the Options Trading Rules in relation to order aggregation for Block Trades (take effect from 28 April 2008)

Amendments to the Options Trading Rules in relation to the enhanced trading functionality of block trades in the automated trading system (HKATS) operated by the Hong Kong Futures Exchange Limited (take effect from 3 March 2008)

Amendments to the Options Trading Rules in relation to the introduction of third party clearing by Hong Kong Securities Clearing Company Limited (take effect from 3 December 2007)

Amendments to the Options Trading Rules in relation to the execution requirements in block trades (take effect from 3 September 2007)

Amendments to the Options Trading Rules in relation to the 2 tier banking structure for money settlement purposes (take effect from 18 June 2007)

Amendments to the Options Trading Rules in relation to the use of Client Offset Claim Account (take effect from 3 July 2007)

Amendments to the Options Trading Rules in relation to the change in functions of the roles of the Chairman and the Chief Executive Officer of the Securities and Futures Commission (take effect from 5 March 2007)

Amendments to the Options Trading Rules to revise the maximum market making spreads and minimum quote size requirements for market makers (take effect from 2 April 2007)

Amendments to the Options Trading Rules in relation to streamlining the approval process for introducing options contracts (take effect from 19 October 2006)

Amendments to the Options Trading Rules in relation to market maker obligations for stock options (take effect from 3 July 2006)

Amendments to the Options Trading Rules in relation to adjustments to Stock Options Position Limits and Reporting Levels (take effect from 10 February 2006)

Amendments to the Options Trading Rules in relation to the handling of Capital Adjustments for Special Events (take effect from 1 July 2005)

Amendments to the Options Trading Rules in relation to the removal of the restriction on the number of Options Hedging Participants which a Market Maker can appoint (take effect from 21 April 2005)

Amendments to the Options Trading Rules in relation to abolition of the registration requirements for Options Officers and Options Representatives (take effect from 1 April 2005)

Amendments to the Options Trading Rules in relation to expanding and rationalising the powers of the Chief Executive of the Stock Exchange to take swift action against a defaulting Exchange Participant (take effect from 1 February 2005)

Amendments to the Options Trading Rules in relation to the reduction of the trading tariff for Tier 1 stock option classes, the narrowing of strike intervals and the provision of continuous quotations by market makers (take effect from 1 February 2005)

Amendments to the Options Trading Rules relating to the implementation of the Derivatives Clearing And Settlement System (take effect from 6 April 2004)