(Please also see Chapters III & V of the Rules of Hong Kong Futures Exchange Limited ("HKFE"))

HKFE has four different categories of Exchange Participantship, each of which has different conditions and privileges :-

1)	Trader - A participant which only trades for its own account.

• be a company incorporated in Hong Kong and substantially owned by one individual.
• hold at least one Futures Exchange Trading Right.
• be a licenced corporation licensed under section 116(1) of the Securities and Futures Ordinance ("SFO") to carry on Type 2 regulated activity under the SFO.
• hold a valid business registration certificate under the Business Registration Ordinance ("BRO").
• in the case of an Exchange Participant intending to trade or trading from time to time through HKATS, comply with all requirements for the maintenance, operation, use and security of HKATS insofar as they relate to the Exchange Participant.
• have all licensed representatives who have been approved by the SFC under Part V of the SFO as responsible 
  officers in relation to Type 2 regulated activity registered as Responsible Officers.  At all times, an Exchange
  Participant shall have at least one executive director registered with HKFE as a Responsible Officer. 
• comply with the financial resources requirements specified in the Securities and Futures (Financial Resources) Rules and where applicable the financial resources requirements under Rule 313A.

2)	Broker - A participant which trades for its own account and acts as agent for transactions of other participants.

• be a company limited by shares incorporated in Hong Kong.
• hold at least one Futures Exchange Trading Right.
• be a licenced corporation licensed under section 116(1) of the Securities and Futures Ordinance ("SFO") to carry on Type 2 regulated activity under the SFO.
• hold a valid business registration certificate under the BRO.
• in the case of an Exchange Participant intending to trade or trading from time to time through HKATS, comply with all requirements for the maintenance, operation, use and security of HKATS insofar as they relate to the Exchange Participant.
• have all licensed representatives who have been approved by the SFC under Part V of the SFO as responsible 
  officers in relation to Type 2 regulated activity registered as Responsible Officers.  At all times, an Exchange
  Participant shall have at least one executive director registered with HKFE as a Responsible Officer.   
• comply with the financial resources requirements specified in the Securities and Futures (Financial Resources) Rules and where applicable the financial resources requirements under Rule 313A.

3)	Futures Commission Merchant - A participant which trades for its own and clients accounts, and acts as agent for transactions of other participants.

• be a company limited by shares incorporated in Hong Kong.
• hold at least one Futures Exchange Trading Right.
• be a licenced corporation licensed under section 116(1) of the Securities and Futures Ordinance ("SFO") to carry on Type 2 regulated activity under the SFO.
• hold a valid business registration certificate under the BRO.
• in the case of an Exchange Participant intending to trade or trading from time to time through HKATS, comply with all requirements for the maintenance, operation, use and security of HKATS insofar as they relate to the Exchange Participant.
• have all licensed representatives who have been approved by the SFC under Part V of the SFO as responsible 
  officers in relation to Type 2 regulated activity registered as Responsible Officers.  At all times, an Exchange
  Participant shall have at least one executive director registered with HKFE as a Responsible Officer.  
• comply with the financial resources requirements specified in the Securities and Futures (Financial Resources) Rules and where applicable the financial resources requirements under Rule 313A.

4)	Merchant Trader - A participant which trades for its own account and is a merchant in a deliverable commodity trade on HKFE.

• be a company limited by shares incorporated in Hong Kong.
• hold at least one Futures Exchange Trading Right.
• be a licenced corporation licensed under section 116(1) of the Securities and Futures Ordinance ("SFO") to carry on Type 2 regulated activity under the SFO.
• hold a valid business registration certificate under the BRO.
• in the case of an Exchange Participant intending to trade or trading from time to time through HKATS, comply with all requirements for the maintenance, operation, use and security of HKATS insofar as they relate to the Exchange Participant.
• have all licensed representatives who have been approved by the SFC under Part V of the SFO as responsible 
  officers in relation to Type 2 regulated activity registered as Responsible Officers.  At all times, an Exchange
  Participant shall have at least one executive director registered with HKFE as a Responsible Officer.  
• (a) be a limited company whose principal business comprises dealing in one or more commodities underlying an Exchange Contract; or

(b) be a limited company which is a subsidiary of a company or entity whose principal business comprises dealing in one or more commodities underlying an Exchange Contract;

and all the business of dealing in Futures Contracts and/or Options Contracts of a Merchant Trader must be conducted in connection with or ancillary to the said principal business of the Merchant Trader or its holding company.

• comply with the financial resources requirements specified in the Securities and Futures (Financial Resources) Rules and where applicable the financial resources requirements under Rule 313A.