Rulebooks: Contents

Rulebooks
Mainboard Rules
Catalist Rules
SGX-ST Rules
CDP Clearing Rules
DVP Rules
CDP Depository Rules
Futures Trading Rules
Chapter 1 General Matters
Chapter 2 Access and Membership
Chapter 3 Conduct of Members, Approved Traders and Representatives
Chapter 4 Listing and Trading of Contracts
Chapter 5 Physical Delivery
Chapter 6 Dispute Resolution and Arbitration
Chapter 7 Adverse Events, Rule Violations and Disciplinary Action
Chapter 8 Definitions and Interpretation
Chapter 9 Transitional Provisions
Regulatory Notices
Practice Notes
Practice Note 2.6.3(2) — Firm-Level Monitoring of Capital and Financial Requirements and Prudential Limits
Schedules
SGX-DC Clearing Rules
SIAC DT Arbitration Rules
SIAC DC Arbitration Rules
Rule Amendments

  Versions
(1 version)
 
Mar 15 2013 onwards

Practice Note 2.6.3(2) — Firm-Level Monitoring of Capital and Financial Requirements and Prudential Limits

Issue Date Cross Reference Enquiries
Added on 15 March 2013. Rule 2.6.3(2) Please contact Member Supervision:

Facsimile No : 6538 8273
E-Mail Address: membersup@sgx.com

1. Introduction

1.1 This Practice Note explains the requirement for monitoring potential breaches of capital and financial requirements and prudential limits on exposures to a single Customer and a single Contract set out in Rule 2.6.3 (2).

2. Firm-Level Monitoring of Capital Requirements and Prudential Limits

2.1 In an electronic trading environment where orders are processed and routed at speed, Members should use appropriate measures to monitor if the firm is at risk of breaching its capital or financial requirements or any prudential limits, for example:
(a) setting automated filters on firm-wide aggregated exposures;
(b) having processes to generate warnings; or
(c) having processes to route large value orders for review.

Amended on 15 March 2013.