Subject to Rule 17.2.2, before engaging in securities borrowing or lending transactions, a Trading Member must enter into a written agreement with the borrower or lender in accordance with Regulation 45(5) of the Securities and Futures (Licensing & Conduct of Business) Regulations and subject to Rule 17.3.3 which requires the collateral provided or obtained by the Trading Member to be at least 105% of the market value of the securities.

Amended on 27 January 201227 January 2012.