3.1 basic concept

DCASS Terminal User Guide 3 – Deal and Trade

3.1 Last updated date 2/2016

3 DEAL AND TRADE

3.1 BASIC CONCEPT

For each deal, DCASS will assign a unique deal number within the system. Example: The system matches the following orders: Customer A sells 10 HSIZ3 Customer B buys 10 HSIZ3 The input of “Customer” field in the Trading Workstation will be displayed in Trade History window under a column “Client”.



As a result, one deal and two trades will be recorded in DCASS. The two trades will have their individual trade numbers (For example, “1” for the buy trade and “2” for sell trade). With the deal number (trade number) and the series name, the deal (two trades) can be uniquely identified in the system. If post-trade adjustment is performed on one of the trades, a new deal will be created. For example, suppose the buy trade is stored in an Omnibus Client account (trade type is “Standard”) and 7 contracts (out of the 10) are given up to another Clearing Participant’s Individual Client Account by using the “Give up” function. After the confirmation of the give up request, the operation will create a new deal in the system which includes two new trades: one buy and one sell, each consisting of 7 contracts. The buy trade will be in the Individual Client Account of the take-up party (trade type is “Take Up”). The sell trade will be created in the Omnibus Client Account of the give-up party (trade type is “Give Up”). The sell trade will close off the original buy trade of 7 contracts in the Omnibus Client Account. Both trades will have an original trade number as “1”. The “Qty left” field of the original trade will become “3” indicating that only 3 contracts are available for further transfer. In DCASS Terminal, the following post-trade adjustment operations are available: 1) Transfer from Transitory 2) Average Price Trade 3) Give Up 4) Rectify Trade Note: The trades generated by the Transfer from Transitory function or by an Average Price Trade function are similar to those generated by the Give Up function. The ones from Rectify Trade function, however, are different. Instead of transferring the trade, the Rectify Trade function corrects the original trade. Therefore, the whole trade must be “Rectified” (versus transferring part of the trade) and the deal number will not be changed. In addition, the trades generated by Rectify Trade function will be marked “Overtaking” (i.e. the new trade will replace the old trade completely) and “Reversing” (the one used to cancel out all the effects created by the original trade). Please note that the “Reversing” trades will NOT be shown in the Trade History window.



3.2 TRADE HISTORY WINDOW

The Trade History window allows the users to view detailed information on the trades performed by the Clearing Participant. Users can enter account, series, date and price information into the search filters to retrieve more specific results fitting their criteria. By default, DCASS database will keep trade records for 2 weeks. In case of database reload, at least 5 business day records for non-expired series will be reloaded from DCASS Host. Trade information in this window is updated in real time and new trades may be generated by the system as certain operations are performed during the day, such as position transfers, APTs, trade give ups etc. Individual trades can be identified using their “trade number” which is unique for each day and each series. Note: If a trade is originally created from HKATS, its “Global deal nbr” will NOT be <BLANK> and its “Org. trade nbr” will be <BLANK>.

User can search a deal or trade by its Deal/Trade number. A deal or trade, is unique to each instrument type. User can identify a deal or trade based on the below definition:

Unique deal identification: Deal number + Instrument type Unique trade identification: Trade number + Instrument type

Procedures to search for a specific deal or trade number: 1) Select Trade History on the Deal-Trade menu 2) In the Trade History window, click to display the window with Deal/Trade

number search criterion 3) Below is the Trade History window with Deal/Trade number search criteria



4) The following search criteria are available in the Trade History window with Deal/Trade number search criteria:

Selection Filters: Filter Description Instrument type Specify instrument type.

It is possible to search on all instrument types by selecting “*”. Default value is set to “*” (all instrument types). Long name of instrument type.

Trade number Trade number is unique within each instrument type. Trade number combined with instrument type is unique and can identify the trade.

Deal number

Deal number is unique within each instrument type. The deal number combined with instrument type is unique and can identify the deal.

1) To perform the search, Enter Deal Number and/or Trade Number 2) Select instrument type from the list. Clearing Participants can also use the

keyboard to search for an instrument type by typing in the first few letters of an existing instrument

3) Click Search 4) All matching items will be displayed in the search result area.

Note: After a search in this window all trades matching the specified Deal/Trade

number and Instrument type for all trade types will be displayed, even if those

trades would not show up in the standard window.



Selection Filters: Filter Description Account Specify a particular account, or use the wildcards (* and %) to

retrieve the matching accounts. If position account (e.g. HK CGA1 C1) is used, all the trades used to build up the position will be shown. E.g. If both “HK CGA1 C” and “HK CGA1 C-GA1AA” propagate positions to “HK CGA1 C1”, trades in both accounts will be shown. However, when providing “position account”, Clearing Participants must specify the exact account name (e.g. “HK CGA1 C1). The use of wildcards is not support for this feature (e.g. “HK CGA1 *1” or “HK CGA1 %1”)

Series Specify a particular series, or use the wildcards (* and %) to retrieve the matching series.

Type Checkboxes to filter for Normal trades, Transfer trades and Transitory trades Normal trades include trades of Standard or Overtaking type. Transfer trades include the trade that is transferred from a transitory account or created to net given up quantities. Transitory trades are placed on a transitory account.

State Rectified trades: Indicates whether to include rectified trades or not Exclude empty trades: Indicates whether to exclude the trades with Qty Left = 0. Exclude holding trades: Indicates whether to exclude trades with holding give up request in pending state. Exclude unadjusted trades: Indicates whether to exclude the trade which will not be subject to real-time adjustment after post-trade has been done on it.

From time/To time Specify the start and finish date and time for the period between which the trades had been performed. The default time is from 00:00:00 to 23:59:59. Note: For optimized system response time, user is advised to narrow down the time range of trade records searching as much as possible.

Low price/ High price

Specify the low and high price for the trades to be displayed. The default price 0.00 implies no limit.

Free text Search trade by free text. It is not case sensitive.



Filter Description

Counterparty Not used by HKEX. Must keep it as “* *”

Ext trade nbr Not used by HKEX. Must keep it as “*”

Buy Sell

If both checkboxes are checked or unchecked: Both buy and sell trades will be shown. If only “Buy” (“Sell”) is checked: only “Buy” (“Sell”) trades will be shown.

List Columns Field Description

Account

The account involved in the trade

As of

The time and date on which the trade was originally registered in the central system. Typically, if the trade is an Overtaking trade, the “As of” time will be different from the “Created” time.

Attention

Provides information about the original trade, the following text would be shown: Error Log

This trade has an input error, e.g. incorrect clearing account Annuled

The trade has been annulled by using Rectify Deal Operation Annuled,Price changed

The trade price has been changed by using Rectify Deal Operation

Annuled,Quantity changed

The trade quantity has been changed by using Rectify Deal Operation

Annuled,Buy/Sell changed

The buy/sell attribute for the trade has been changed by using Rectify Deal Operation

B/S Indicates whether the trade was a Buy trade or a Sell trade

Clearing Date

The clearing date of the trade

Series The series involved in the trade

Settlement Date The settlement date of the trade

Confirmed by User code for users that confirmed the trade. For example, if the trades were created by position transfer performed by the Clearing House, the user code of the user who made the transfer will be shown here. This field can also be used to check the take-up party of a give up



Field Description

trade. If it is shown as “HK CZZZ B_001” or “HK CZZZ XXXXX”, it means “CZZZ” is the take-up party.

Created

The time and date on which the trade was registered

Deal Nbr The number together with the series uniquely identifies the deal In DCASS, Deal Nbr is used to group related position movements (recorded as trades) of the same transaction. E.g. i) A position netting operation will create two trades, one for the

buy side and the other for the sell side. These trades will bear different Trade Nbr. However, they will share the same Deal Nbr to indicate that they are created by the same transaction.

ii) There are 3 buy orders in the market with the same bid price.

If there is a large order hits all these 3 buy orders at once, DCASS will create four trades (3 buy and 1 sell) with the same Deal Nbr. to indicate that it is a single matching.

Deal Source

This field describes how the deal was made. AUC Matched in HKATS, during Pre-opening EMP Matched in HKATS, normal EMP 1 br Matched in HKATS, Enter Trade Report

window EMP D br Matched in HKATS, Enter Trade Report

window with different counterparts MPS Matched in HKATS, manually by Exchange STC Matched in HKATS, combo APT Created by DCASS, final Average Price Trade Interim APT Created by DCASS, related to APT Give Up Created by DCASS, related to give up trade Direct Reg Created by DCASS, related to position transfer XprdNet Created by DCASS, related to cross product

netting Adj with pr Created by DCASS, related to capital

adjustment on futures style instruments Adj without pr Created by DCASS, related to capital

adjustment on premium paid options Cbo v. Outr Matched by Combo order and Outright order TMC Combo E Created by DCASS, related to capital

adjustment on premium paid options

Combo series The combo series of a combo deal. The field is blank if the trade does not originate from a combo order.

Combo Price The combo price of a combo deal. The field is blank if the trade does not originate from a combo order.

Effect

Indicates the actual effect of the trade on the account (Opened or Closed). It may be different from the “O/C/N/D” field.



Field Description

Fee 1

Exchange Trading Fee for ordinary accounts

Fee 2

Exchange Trading Fee for Market Maker in this market

Fee 3

Exchange Trading Fee for Market Maker in other market

Fee 4

SFC Levy

Fee 5

Compensation Fund Levy

Fee 6

Clearing Service Fee (such as Exercise Fee and Settlement Fee, etc.)

Free Text

1) User supplied free text information (maximum 15 chars). Originally, it is the “Info” field given by the trader during order input in HKATS.

2) System generated free texts for transferring and reversing

trades. Trades Generated by Free text Auto netting Auto-netting Position Transfer Pos. Transfer Position Netting LongPosNetting

Cross Product Netting Crs pdt netting Average Price Trade Avg price trade Transfer from DA Reversing_trade * Give Up Revers. Give Up *

Capital Adjustment CA_ConvertedPos Capital Adjustment CA_RemovePos

* are for reversing trades only

Give Up nbr The field will be updated under two cases:

1) For the trade with holding give up request on them: It is the latest give up request number issued on that trade. 2) For the trades generated after the give up request is confirmed by the take up party: it is the confirmed give up request number that resulting the trades. The corresponding give up number can be found in the Holding Give Up window.

Global deal nbr

Deal number for deals submitted from an external exchange system. It is unique per instrument type and clearing date.

Instigant

Indicates whether a trade in a deal is the initiating party. e.g. If position is transferred from HK CGA1 C1 to HK CGA1 C9001, the transfer trade created in HK CGA1 C1 will mark as “Yes” whereas the one in HK CGA1 C9001 will mark as “No”.

Modified

The time and date on which the trade was last modified. If the state of the trade is changed by rectify trade operation, the Modified time will differ from the Created time.

O/C/N/D Specifies the intended effect of the trade on the position account



Field Description

O Open C Closed N Net (i.e. close as much as possible) D Default (i.e. open)

Order Nbr

The unique identity of the order behind this trade (From HKATS)

Org Trade Nbr

If the trade is a result of a trade rectification, trade transfer or give up operation, the trade number of the original trade of this operation is displayed in this column

Pass Through

The give up information entered in HKATS in the field “Acc. Info”.

Pos Account

The account on which the position is updated by the trade. Therefore, it may be different from the “Account” field. E.g. For trades stored in “HK CGA1 C”, the Pos Account will be “HK CGA1 C1” to indicate that the position effect is shown in “HK CGA1 C1”.

Premium

The total premium payable (-) or receivable (+) by Clearing Participants resulting from the trade. It is only applicable for premium paid options and calculated as No. of contracts x contract size x price. (SEOCH only)

Price

The traded price. Note: The value will be set as “0” if the trades are generated by position movement (e.g. position netting)

Qty left

The actual quantity left for the trade after subsequent trade transfer or give up operation(s). Please note that since rectify trades are not “Trade Transfer”, the “Qty Left” figures of the “rectified” trades will not be updated.

Quantity

The original number of contracts involved in the trade

State

Rectified: the trade is rectified. Holding Give Up: there is holding give up request in pending state for this trade. Holding Rectify Trade: The Trade is in holding rectify trade state <Blank>: none of the above.

T+1 Specifies new trades for clearing next day

Trade Nbr

A number which uniquely identifies the trade by series. It is possible for more than one trade to have the same trade number but they will all be of different series.

Type

Type of the trade:



Field Description

Standard

- Trades other than Transitory, Overtaking and Transfer Transitory - Trades placed in the transitory account

Overtaking

- Trades generated as a result of a rectify operation. They are trades to replace the rectified trades.

Transfer

- Trades generated as a result of a trade transfer (i.e. reversing trade) or a position movement.

Give Up

- Trades generated as a result of a give up (i.e. reversing trade)

Take Up

- Trade taken up

Unadj <Y>: The trade, which has been subject to capital adjustment, will be adjusted on a real-time basis after post-trade has been done on it

<Blank>: The trade, which has been subject to capital adjustment, will not be adjusted on a real-time basis after post-trade has been done on it

User

The user who created the trade. An “XXXXX” account ID (e.g. “HK CGA1 XXXXX”) means that the trade was manually matched by the Clearing House or generated internally by DCASS.

Client Equals to the field of “Customer” at the trading workstation.

Note: The columns not used are: Buy/Sell ref. Cab Price Ind Cancel Trade

nbr Commission

Consideration Contr size Corresponding Yield price

Counterparty Countersign

Deferred Time Delivery Start Ext seq nbr Ext status Ext t fee type Ext trade nbr Fee 7 – Fee 9 ISIN Le state Order ref Orig ext t nbr Rebate Residual Series long

name Tax

Time of agreement

Trade Report Trade Venue



Trading Fees and Premiums are updated in real time and can be seen in the Trade History window immediately after trading. Other associated fees will not be generated until the After Business process is completed. All the fees and premiums information can be found in the Clearing Information window. In the Trade History window, right-clicking in the main data table will provide access to various functions:

Rectify Trade Trail APT Give Up Average Price Trade



3.3 TRADE TRANSFER WINDOW

Trade Transfer window shows all the transitory trades made on that day. There are two functions available in this window:

Transfer from Transitory Average Price Trade

3.3.1 TRANSFER FROM TRANSITORY

The Transfer from Transitory function is used to move trades from the Daily accounts to other accounts of the same participant. The trades cannot be transferred into the “SINK”, “SINKS”, “CNET”, “ANET” or “APT” accounts. Throughout the trading day, Clearing Participants can move trades into the Daily Accounts but the Daily Accounts are not allowed to hold positions overnight. Positions left unallocated in Daily Accounts at the end of the day are automatically moved into the Clearing Participants’ SINK accounts during After Business processing. 1. Open the Transfer from Transitory window from the main menu bar

2. Specify the Account, Series, Date, Time or Price details to locate the trade that is to be transferred and click <Search>. The relevant trades will be displayed.

3. Highlight the trade, or trades, to be transferred by clicking on it. More than one

trade can be moved in one transfer. 4. On the right side, under the Account field, enter the account where the trade is to be

transferred. It is possible to split a trade and transfer it into more than one account at the same time.

5. After the transfer details have been entered, click the <Transfer> button and it will

be updated immediately. For convenience, the “Default Account” field on the top of the right hand corner enables quicker transfers to a user-specified account. Enter an account into this field, select the trade(s) to be transferred, and click the <Transfer to Default> button. All the selected trade(s) will be moved to the “default” account.



By default, the “Exclude empty trades” checkbox is ticked. This means that only trades with a remaining quantity (“Qty Left”) greater than zero will be shown. By unchecking the checkbox, users can see the result of the transfer which will have reduced the “Qty Left” column to “0”. By default, the “Exclude holding give-ups” checkbox is not ticked. This means trades with holding give up request in pending state will be shown. Check the box can filter out these trades.

3.3.2 AVERAGE PRICE TRADES

An average price trade can be performed by selecting two or more trades of the same series, of the same side (buy or sell) and of the same account via Trade History window. Procedures to perform Average Price Trades (APT): 1) Select Trade History on the Deal-Trade menu 2) Open the Trade History window 3) Select the trades for average pricing and right click to select “Average Price Trade”

from the context menu 4) Click “Send” on the submission box to submit the request.



5) The system will generate a trade with “Deal source” equal to “APT” to represent the resulting trade with average price. Below are the trades generated after the action:

6) In Trade History window, select the resulting APT with trade number of 452190, right

click and select “Trail APT” to display the original trades of the APT which are 452183 and 452185 as shown below.



List Columns (Left) Filter Description Account The transitory account

Series The series involved in the trade

B/S Indicates whether the trade was a Buy or a Sell

Status Related to “Attention” field of Trade History. O/C/N/D Specifies the intended effect of the trade on the position account

O Open C Closed N Net (i.e. close as much as possible) D Default (i.e. open)

Effect

Indicates the actual effect of the trade on the account (Opened or Closed). It may be different from the “O/C/N/D” field.

Price The traded price

Quantity

The original number of contracts in the trade

Qty Left The actual quantity left for the trade after subsequent trade transfer or give up operation(s).

Created The time and date on which the trade was registered

List Columns (Right)* Filter Description Account The transitory account

Quantity The original number of contracts in the trade

O/C/N/D Specifies the intended effect of the trade on the position account

O Open C Closed



N Net (i.e. close as much as possible) D Default (i.e. open)

Free Text Text field to input comments

* Note: These columns are not used during the APT operation.

3.4 GIVE UP WINDOW

A Clearing Participant can allocate a trade to another Clearing Participant for clearing.

Such a transfer is called a Give Up. To perform a Give Up, submit a request and it will

be held in a holding state in the Holding Give Up window until it is confirmed or rejected

by the recipient. The Clearing Participant who submitted the Give Up request can

cancel the request if the recipient has not already confirmed or rejected it.

It is possible to send multiple trades in a Give Up request if they are to the same

recipient. It is also possible to split up the trade and allocate the quantities to different

accounts. However, the total quantity of the trade to be given up must be equal to or

less than the sum of “Qty Left” amount of the original trade and any outstanding holding

give up quantities of that original trade.

3.4.1 SUBMITTING A SINGLE GIVE UP REQUEST

1. Open the Trade History window from the main menu bar and select the trade for the give up

2. Right click and select <Give Up...> to open the Give Up window

3. Enter the account where the trade should be given up to and change the Free Text if

necessary. 4. After all the transfer details are correctly entered, click the <Send> button to submit

the request. 5. The request will be put in holding state in the Holding Give Up window.



3.4.2 GIVE UP REQUEST WITH MULTIPLE TRADES

1. Open the Trade History window and select the trades for the give up 2. Right click and select <Give Up...> to open the Give Up window

3. Enter the account where the trade should be given up to and change the Free Text if necessary. When performing a multiple give up, it is not possible to split up the trade into different quantity or into different accounts.

4. Click <Send> and the request will be put in holding state in the Holding Give Up

window.

3.4.3 SPLIT GIVE UP TRADES

1. Open the Trade History window from the main menu bar and select the trade to Give Up

2. Right click and select <Give Up...> to open the Give Up window

3. Enter the quantity for the first part of the give up (this should be less than the total

available if a split give up is intended) and then specify the account to which this part of the trade should go.

4. After entering the Free Text, press the “Tab” key on the keyboard and a new row with

the remaining quantity will appear. Specify the quantity and account as in Step 3. 5. Continue splitting the trades by entering the quantities and the target accounts 6. Click <Send> and the request will be put in “Holding” state in the Holding Give Up

window.



List Columns (Left) The following fields are available in this window; details are the same as Trade History window. Account As of B/S Confirmed by Created Deal Nbr Effect Free Text Modified O/C/N/D Order Nbr Org. trade nbr Pass through Price Quantity Qty left Series State Trade Nbr Type User

List Columns (Right) Fields Description Quantity

The quantity to be given up. The total quantity must be equal to or less than “Qty Left” of the original trade.

Member/Account

The Clearing Participant that will take up the give up trade (e.g. HK CXXX). Specific account code can be supplied (e.g. HK CXXX C). However, the take up Participant can specify another account when confirming.

Free Text

User specified free text (maximum 30 chars). It will be passed to the take up Clearing Participant in the Holding Give Up window.

Notes: 1) Trades with trade Type = “Transfer” cannot be given up 2) A trade marked with “Rectified” cannot be given up 3) Trades can only be given up if they have positions to move. When a give up

request is issued, the system will hold up the request quantity. So subsequent give up request may be prohibited due to the holding give up request

4) Trades with <Unadj> column = “Y” must be rectified first before give up



3.4.4 HOLDING GIVE UP WINDOW

The Holding Give Up window allows the users to: View and manage give up trades (by selecting “Given Up” button and “Member”

set as itself (e.g. HK CGA1)) View and manage take up trades (by selecting “Received” button and “Member”

set as itself (e.g. HK CGA1)) View all the give up requests issued by itself and by others (by specifying

“Member” as “* *”) The Holding Give Up window shows give up requests created on a particular business date (including both “T” session and “T+1 Session”), and such records will be kept up to 7 calendar days. For searching given up trades/requests done/received during “T+1 Session” of the previous business day, users can input the previous business day in the “Date” field (e.g. today is 15/7/2013 and previous business day is 12/7/2013) and then sort by the “Created” time as below.

Button “<<” is used to hide the fields of “Free text”, “Counterparty”, “Ext Trade Nbr”, “Buy/Sell” and “Real-time updated”. If these fields are hidden, the “<<” button will be shown as “>>”. Clearing Participants can use it to display them again. Give up party can only cancel the previous give up request if it is still in a holding state. <Confirm> action will be rejected by the system if the button is pressed by give up party. The receiving party can select either the <Reject> or <Confirm> button to reject or confirm the selected take up trade. The receiving party should specify the account to which they wish to allocate the trade in the “Account” column along with any other details before pressing the <Confirm> button. Once pressed, the trades will be transferred from the give up party’s account to the receiving party’s account. If the give-up is rejected by the receiving party, the give-up request will have state of “Rejected”. If the delete/withdrawal is done by the give-up party, the give-up request will have state of “Deleted”. Note: If the receiving party does not confirm the give up request, the trade will remain in the give up party’s account and no transfer will take place. Both the give up and take up parties should check the Holding Give Up window to ensure the completion of all give up operations.



List Filters: Filter Description Series Specify a particular series, or use the wildcards (* and %) to

retrieve the matching series. Date

Specify the date on which the request was made. Therefore user can check past give up operations

Member Used together with the “Give up/Received” selection button. It shows the requests given up by the Clearing Participant if “Given up” is being selected. If “Received” is selected, it shows the requests waiting for the Clearing Participant specified in “Member” field to take up.

Given Up/Received

“Given up” shows give up requests issued by Clearing Participant specified in “Member” field. “Received” shows give up requests issued by other parties and waiting for the Clearing Participant specified in the “Member” field to take up.

Holding/Completed/ Rejected/Deleted/ Deleted Holding

The states of the give up requests. Users can select to filter only the trades with the status which they wish to display in the Holding Give Up window. Delete Holding is not used by HKEX.

Free text Use the Free Text to search the Holding Give Up request Counterparty Used together with the “Member” and “Given Up/Received” fields.

It is the counterparty of the action. e.g. If “Member”=”HK CGA1” “Given up” is checked and “Counterparty” is set as “HK CDA1”, it will display all the give up requests issued by HK CGA1 to HK CDA1. If “Member”=”HK CGA1” “Received” is checked and “Counterparty” is set as “HK CDA1”, it will display all the give up requests issued by HK CDA1 and waiting for HK CGA1 to confirm

Ext trade nbr Not used by HKEX. Must keep as “*” Buy / Sell If both checkboxes are checked or unchecked: Both buy and sell

trades will be shown. If only “Buy” (“Sell”) is checked: only “Buy” (“Sell”) trades will be shown.

Real-time update If the box is checked and <Search> button is pressed once, the holding give up window will be updated automatically in real time. Default is unchecked.

Created The time and date on which the request was registered

List Columns (Left) Field Description As of The time and date on which the trade was originally registered in

the central system. B/S Indicates whether the trade was a Buy trade or a Sell trade Created The time and date on which the request was registered



Field Description Deal Source This field describes how the deal was made. Details please refer

to the Trade History section. (see Section 3.2)

Free Text Free text provided during the submission of the give up request. For rejected give up request, it is the information provided by the reject party.

Price

The trade price

Give Up Nbr

The give up number

Given Up By

The Clearing Participant who submitted the give up request

Member/Account The intended receiver of the give up, either a Clearing Participant or an explicit account.

Quantity The requested number of contracts to be given up

Series

The series involved in the trade which is to be given up

State

Indicates whether the request is Holding, Completed or Rejected.

Trade Nbr A number which uniquely identifies the trade by series. It is possible for more than one trade to have the same trade number but they will all be of different series.

Contr size Number of underlyings in a contract

Note: The following columns are not applicable and are not used: Ext t Fee Type ISIN Old Trade Ext trade nbr Orig ext t nbr Orig Clearing

List Columns (Right) Field Description Account The recipient can specify the account where they wish to allocate

the give up trade when confirming. The following accounts, however, cannot be used to store a take-up trade: Daily, Sink, APT, CNET and ANET.

Quantity

The number of contracts to be allocated to the account. The total number must equal to the one in the give up request.

O/C/N/D Specifies the intended effect of the trade on the position account O Open C Closed N Net (i.e. close as much as possible) D Default (i.e. open)



Field Description Free Text

Text field for entering comments. There are two cases: 1. Request is rejected (30 characters): the receiving party can

enter the free text in this field and it can be seen by the give up party in the rejected request.

2. Request is confirmed (15 characters): the take up party can enter the free text for the trade that they have accepted.

3.5 RECTIFY TRADE WINDOW

The Rectify Trade function allows Clearing Participants to reallocate trades to different internal accounts. This process does not require confirmation if the transfer is performed between accounts of the same Clearing Participant and will be effective immediately. To transfer trades to accounts of other Clearing Participants, Clearing Participants should use the Give Up function instead. The system allows the user to input external accounts or system accounts (APT, CNET, ANET and SINK accounts) in the “Rectify Trade” window, the request cannot be proceeded and the request will be put in holding state (Shows “Holding Rectify Trade” in State). These holding rectify trades will not be confirmed by HKEX. To delete the holding rectify trades, Clearing Participants should select them in the “Holding Rectify Trade” window and click the <Reject> button to delete them.



3.5.1 SINGLE TRADE RECTIFICATION

1. A trade is rectified from account HK CGA1 C to the account HK CGA1 H

2. In the Trade History window, the state of the original trade in HK CGA1 C (with Trade nbr as “3419”) will become “Rectified” while an “Overtaking” trade (with Trade nbr as “6350”) is created in the account HK CGA1 H with the same details (with Org. trade nbr set as “3419”).



3.5.2 TRADE RECTIFICATION (SPLITTING)

1. The Rectify Trade function can also be used to split a trade. In this example, trade

with trade number of 9601 is split into 3 separate trades (all with “Org. trade nbr” set as 9601).

2. The effect can be seen in the Trade History window below:



3.5.3 MULTIPLE TRADES RECTIFICATION

More than one trade can be rectified at the any one time. 1. Select the trades in the Trade History window, click the right mouse button and

select “Rectify Trade…” from the right-click menu.

2. Fill in the account for the new trades, specify the “O/C/N/D”, and Free text (Note: the

“Quantity” field is not available in multiple trades rectification operation.)

3. Ensure the details are correct and click <Send>



List Columns (Left) The following fields are available in this window; details are the same as Trade History window (see Section 3.2). Account As of B/S Confirmed by Created Deal nbr Deal source Free text Modified O/C/N/D Order nbr Org. trade nbr Pass through Pos account Price Qty Left Quantity Series State Trade nbr Type User

List Columns (Right) Fields Description Account

The account which will hold the new trade

Quantity

The quantity to be assigned to the designated account. A trade can be split up by specifying a quantity smaller than that of the original trade. Use the “Tab” key to go to the next line and the remaining quantity will be filled in the next record. However, the total quantity of the split up trades must be the same as the Qty left.

O/C/N/D

Specifies the intended effect of the trade on the position account O Open C Closed N Net (i.e. close as much as possible) D Default (i.e. open)

Free Text

The Free Text for the new trade.

Notes: 1) Trades with trade Type = “Transfer” cannot be rectified 2) A trade marked with “Rectified” cannot be rectified again 3) Trades can only be rectified into another account if they have positions to move. As

such, some positions may need to be re-opened In summary, trade rectification includes: 1. Internal trade reallocation (“Account”) 2. Trade splitting (“Quantity”) 3. Open and close indicator amendment (“O/C/N/D”) 4. Free text amendment (“Free Text”) field for typing participant’s own reference. The

free text field can be used to record information which can be used to facilitate the Clearing Participants’ subsequent downstream processing.

5. Recalculate the quantity and price of unadjusted trades (“Unadj”=Y) according to capital adjustment parameters.



3.6 OTHERS

3.6.1 SIMULATE FEE WINDOW

The Simulate Fee function allows users to calculate the trading fees associated with a trade if the trade is being executed. The Simulate Fee window is opened from the "Deal–Trade" menu in the main menu bar. The user is required to enter the account, series and the details of the hypothetical trade. The fees associated with the trade will be displayed in their respective columns after clicking on the <Send> button.

Note: Only Fees 1 to 5 will be simulated when using this function. Fees 6 – 9 are not calculated in real time and will just show “0”. List Columns Fields Description Account The account which will perform the trade Series The series involved in the trade Price The traded price Buy The buy quantity Sell The sell quantity Fee 1 Exchange Trading Fee for ordinary accounts Fee 2 Exchange Trading Fee for Market Maker in this market Fee 3 Exchange Trading Fee for Market Maker in other market Fee 4 SFC Levy Fee 5 Compensation Fund Levy Fee 6 Clearing Service Fee Fee 7 Not Used Fee 8 Not Used Fee 9 Not Used



3.6.2 ERROR LOG WINDOW

The Error Log window displays information about closing error, invalid exercise requests and other invalid transactions that have been performed during the day. The error log records will be kept for at least 5 calendar days.

Errors relating to specific accounts and series can be filtered for easy identification. Erroneous operations performed on a particular day or period can also be filtered. An example of the common errors is when an non-existing account name is specified in the order and the system automatically moves the trade into the default account of the trading customer for that product.



The errors are listed under Problem in the window List Columns Field Description Account

The account relating to the problem

Series

The series involved

Operation

Indicates the type of operation that was performed e.g. trade, exercise etc.

Number

A unique number assigned to identify the entry

Created

The date and time on which the erroneous operation was performed

User

The user ID of users who attempted the erroneous operation

Problem

The error that prevented the transaction from completion. Messages longer than 40 characters will be truncated.

3.1 basic concept

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