ob体育 has updated the market integrity rules to facilitate the introduction of a new type of financial product that securities and derivatives exchange Chi-X Australia Limited (Chi-X) is introducing to its market, known as transferable custody receipts (TraCRs).
The updated rules include TraCRs in the definition of 'cash market products' in Rule 1.4.3 of the new consolidated rulebook, the . This will allow appropriate market supervision arrangements for TraCRs by bringing these products into ob体育's market supervision framework.
In order to quote and trade TraCRs on the Chi-X market, Chi-X has also obtained regulatory approvals for:
- a
- a for TraCRs
- amendments to the Chi-X operating rules.
The issuer of TraCRs, Deutsche Access Investments Limited, has also obtained relief in relation to the TraCR product (see instrument 17/0995 in ).
proposing changes to its operating rules and procedures to allow for the introduction of TraCRs to the Chi-X market. TraCRs are units of beneficial ownership in equities listed on certain overseas exchanges, where the foreign equities are held in custody for the issuer of the TraCRs. They are 'unsponsored' in the sense that TraCRs are issued and quoted on the Chi-X market without the consent or involvement of the overseas equity issuer.
In 2015, ob体育 also consulted on extending existing ob体育 relief instruments to facilitate the quotation and trading of exchange traded funds on the Chi-X market, and to extend relief from s1017B in [CO 13/721] to cover managed fund products quoted on ASX (refer: 聽Consultation Paper 235: Proposed amendments to ob体育 market integrity rules and instruments for the Chi-X investment product market (CP 235). 聽ob体育 has now made the following instruments as consulted upon in CP 235:
- ob体育 Corporations (Amendment) Instrument 2018/3 which, on 31 May 2018 amended the following ob体育 instruments:
The amendments made to these instruments includes relief for product issuers, authorised participants and market makers of Chi-X ETFs. Changes have also been made to the exchange traded fund definition in these instruments to ensure that it reflects the key characteristics of this product and is market neutral in relation to the ASX and Chi-X markets. We also extended the existing relief from s1017B in [CO 13/721] to cover managed fund products quoted on ASX.
2. Class Waiver 2018/311 replaces Class Waiver 13/680 and took effect on 1 May 2018. This extends relief from Rule 6.1.1(1) of the ob体育 Market Integrity Rules (Securities Markets) 2017, to Chi-X participants where they enter into a 鈥楨xchange-Traded Fund Special Trade鈥� transaction on the Chi-X market.