Eurex User Registration Guide

Transcription

1 User Registration Guide Eurex 2008 All proprietary rights and interest in this publication shall be vested in Eurex Administration and Management ( Eurex ) and all other rights including, but without limitation, patent, registered design, copyright, trade mark, service mark, connected with this publication shall also be vested in Eurex. Whilst all reasonable care has been taken to ensure that the details contained in this publication are accurate and not misleading at the time of publication, no liability is accepted by Eurex for the use of information contained herein in any circumstances connected with actual trading or otherwise. Neither Eurex, nor its servants nor agents, is responsible for any errors or omissions contained in this publication which is published for information only and shall not constitute investment advice. This brochure is not intended for solicitation purposes but only for the use of general information. All descriptions, examples and calculations contained in this publication are for guidance purposes only and should not be treated as definitive. Eurex reserves the right to alter any of its rules or contract specifications, and such an event may affect the validity of information in this publication. Eurex is a registered trademark

2 Page 2 of 13 Table of Contents 1 Purpose and Structure of the Guide Purpose of the Guide Structure of the Guide 3 2 Role of the Security Coordinator 4 3 Admission and Registration of System Users Trader Security Coordinator Back Office Staff Back Office Staff Qualified Back Office Staff View (Read only) Technical User IDs 9 4 Assignment of User IDs User Setup General Provisions for the Maintenance of User IDs User ID Maintenance in the Eurex System 13 2

3 Page 3 of 13 1 Purpose and Structure of the Guide 1.1 Purpose of the Guide The guide gives a general explanation of user registration and application for Eurex user IDs in the Eurex System. It is also designed to help fill in the user registration forms. 1.2 Structure of the Guide The guide is divided into two sections. One section gives general information about admission and registration of individuals, the other section gives information about the structure of user IDs and an outline of user ID maintenance. 3

4 Page 4 of 13 2 Role of the Security Coordinator Each exchange member appoints a security coordinator within his staff. This person is responsible for the maintenance of the security functions on the member side. For reasons of security and supervision, the security coordinator should not be entrusted with trading and clearing activities. Also it is recommended that every member should appoint two security coordinators, so that a back-up is guaranteed. Duties and responsibilities of the security coordinator vary from member to member. However, Eurex Market Supervision gives a few basic recommendations: A user security profile must be prepared for each new user of the system. This specifies which system functions the user has access to. A trader must be granted a product allocation for at least one underlying before he can trade in the Eurex system. The coordinator is responsible for granting such authorization within the system. Request of registration, modification and deletion of User IDs 4

5 Page 5 of 13 3 Admission and Registration of System Users 3.1 Trader Anyone intending to be admitted to Eurex as an exchange trader is required to submit proof of reliability and adequate professional qualifications as well as sufficient trading experience. Principal proof of professional qualification is a successfully passed Eurex Trader Examination. The examination certificate should not be older than two years. As proof of practical trading experience the user should have taken part in a functional Eurex training or have been admitted as trader for any multilateral electronic trading system for at least six months within the last two years. In case a Eurex Exchange trader switches to another registered company such trader requires a successfully passed Eurex Trader Examination within the last two years and at least six months of practical experience during the last two years. An alternative proof of professional knowledge and practical experience could be an admission of the applying trader of at least twelve months within the last two years at Eurex, accompanied by a formless confirmation of the former employer about the applicant s activity in trading. In this case the applicant has to make sure that his admission for the former employer has been cancelled and all user IDs have been deleted. Supporting documents: Application for the Setting up/modification/deletion of User IDs in the Eurex System (form) Application for Admission as Exchange Trader at the Eurex Exchanges (form) Complete, signed curriculum vitae containing all first names and surname, maiden name, date of birth, place of birth and nationality (form), Declaration of personal reliability (form) Copy of the certificate of the trader exam Proof of successful participation in a functional system training or an alternative evidence of practical experience All supporting documents must be submitted in either German or English. 5

6 Page 6 of Security Coordinator Every exchange participant is obliged to define the access rights for each user of the Eurex Trading and Clearing system. This task is undertaken by the Security Coordinator who is supplied with his own user ID and password. Access rights cover the assignment of access levels for the different system functions, as well as the right to trade particular contracts and the definition of respective maximum order sizes for each exchange trader. On compliance grounds the function of Security Coordinator should not be undertaken by a trader or back office staff member. Supporting document: Application for the Setting up/modification/deletion of User IDs in the Eurex System (form) 6

7 Page 7 of Back Office Staff Back Office Staff Back office staff members can be registered by submitting the application form for the setting up of a back office (BO) user ID. No test is required. Supporting document: Application for Setting up/modification/deletion of User IDs in the Eurex System (form) Qualified Back Office Staff The admission condition of an orderly settlement of trades (chapter 3.3 Eurex Exchange Rules) is only fulfilled when at least one qualified back office staff member is present and permanently reachable during the exchange trading day in the participant s back office. Adequate qualification is provided when the Clearer Test offered by the Eurex Clearing House has been passed successfully. The test certificate should not be older than three years. Applicants seeking re-registration as qualified back office staff member within a period of three years after de-registration do not need to submit a copy of their Clearer Test certificate. Supporting documents: Application for Registration of Qualified Back Office Staff (form) Successfully passed Clearer Test as proof of proficiency with regard to the Eurex Clearing system 7

8 Page 8 of View (Read only) View only users only have inquiry access to the system. They cannot perform trading or back office functions. The user ID for view users can be applied for with the setup form for user IDs. Supporting document: Application for Setting up/modification/deletion of User IDs in the Eurex System (form) 8

9 Page 9 of Technical User IDs Quote Machine (unique Trader Subgroup: QMA*) Quote Machines are automatic quoting systems for options and futures. Based on price information and additional parameters which the exchange participant will determine quotes are generated automatically and routed to the trading system of the Eurex Exchanges via the programmable interfaces of the Eurex Exchanges. Such orders are generally of the order type "quote". Manual interference of the authorized responsible and admitted trader has not been provided for. Its sole responsibility is to set parameters for the Quote Machines. Electronic Eye (unique Trader Subgroup: EEA*) Electronic Eyes are computer programs which continually receive from the computing system of the Eurex Exchanges and evaluate market prices from products traded at the Eurex Exchanges. If the price of an incoming order or quote received by an Electronic Eye is within a bandwidth previously defined by an exchange participant, the Electronic Eye automatically generates an order which is routed to the trading system of the Eurex Exchanges via the programmable interfaces of the Eurex Exchanges so that it can be executed. Such orders are generally IOC/FOK orders, since upon non-execution, it is not in the interest of the exchange participant to have the orders remain in the order book. Manual interference of the authorized responsible and admitted trader has not been provided for. Its sole responsibility is to set parameters for the Electronic Eye. Algorithmic Trading Engine (unique Trader Subgroup: ATE*) Algorithmic Trading Engines are computer programs which allow automated order entry into the trading system of the Eurex Exchanges based on predefined quantitative models, whereby manual interference of the admitted trader has not been provided for. Source for the generated orders are usually historic and current market data that are valued and evaluated within the closed system and converted into an order entry. Such orders are generally not IOC/FOK orders. Algorithmic Trading Engines do not react to price changes as an Electronic Eye would do, since the underlying model must contain both historical and current market data. Trade Engine (unique Trader Subgroup: QME*) Trade Engines are computer programs that combine the functionality of both Electronic Eye and Quote Machine. At the same time, they do not have the same functionality as the Algorithmic Trading Engines. Note that Eurex US based clients have to replace the first letter with a U (e.g. UMA, UEA, UTE, and UME). 9

10 Page 10 of 13 4 Assignment of User IDs Each person who should have access to the Eurex system must apply for a personal user ID using the form Application for Setting up/modification/deletion of User IDs in the Eurex System. This user ID must be entered into the Eurex system when the user logs in. In addition to traders and market makers this applies to back office staff, security coordinators and view (read only) users. The personal user ID must not be used by any other person. User IDs consist of 11 characters and three components: EUREX user ID ABCFRTRD001 member ID subgroup user code user ID Member ID (5 letters) The member ID is allocated by Eurex, e.g. ABCFR (1st 5th character) Subgroup (3 characters) The subgroup is reflected by characters 6 to 8 and defines the access of traders to a joint order book. Depending on how traders should be organized, participants can define different subgroups, e.g. ABCFR (1st 5th character) + TRD (6th 8th character). The access restriction created by the subgroups is an essential security function. All traders in a subgroup can maintain the quotes and orders entered by the members of this subgroup. Also, all the traders of the subgroup can see the corresponding matched trades. However, the traders of a subgroup normally have no access (including inquiry) to the orders, quotes and trades of another subgroup. The following example shows how the user IDs help distinguish trading for clients (Agent) and trading in one's own name (Principal or Market Maker). Eurex Member ID Member Subgroup User ID number ABCFR TRD 001 ABCFR TRD 002 ABCFR TRD 003 ABCFR PRN 001 ABCFR PRN

11 Page 11 of 13 Generally, a subgroup can be defined by the participant himself. Thus, there are some restrictions, e.g. regarding order routing systems and other technical user IDs. The subgroups below can only be used for user IDs in regard to the following systems: Subgroup ORS TLP QMA EEA ATE QME ATC specified for: Order Routing System Trader Development Program Quote Machine Electronic Eye Algorithmic Trading Engine Trade Engine Automated Client Trade Transfer for OTC Trade Entry Facilities For US-Members: Subgroup URS ULP UMA UEA UTE UME UTC specified for: Order Routing System Trader Development Program Quote Machine Electronic Eye Algorithmic Trading Engine Trade Engine Automated Client Trade Transfer for OTC Trade Entry Facilities Traders from the U.S. must use subgroups beginning with U for the systems listed above. 000 is not a valid code for a subgroup. User code Characters 9 to 11 represent the user code. These characters are allocated according to individual users. For example: ABCFR (1st 5th character) + TRD (6th 8th character) (9th 11th character), for (trader TRD001). Only capital letters may be used for IDs. Special characters or umlauts (ä, ö, ü) are not permitted. 11

12 Page 12 of 13 Examples: Participant code Subgroup User code ABCFR TRD (for trader ) 001 ABCFR SEC (for security coordinator ) 001 ABCFR BCK (for back-office staff ) User Setup The setup of a user serves to adapt an individual security profile for each user to the current member requirements. The security profile defines which functions are available to the user and which areas of the system are accessible. Market Supervision must prepare such a profile for each user before he/she can use the Eurex system. Market Supervision recommends a rough classification into three areas: 1. Security Coordinator 2. Back office 3. Trading The Security Coordinator must set up user specific accounts, as described in the Eurex Front End Installation Guide (available in the Eurex member section under Releases/Manuals/Technical Manuals) for access to the MISS. He should only have access to the Trader Product Assignment and the User Security Profile Maintenance windows. Back office staff may have access to the trading GUI and should not have access to the security maintenance windows. Traders should not have access to the Trader Product Assignment window nor to the User Security Profile Maintenance window. For the user, six standard security profiles are available. These profiles can be copied from an existing user. A security profile is selected during the setup of the new user ID. The standard security profiles are available for the following functions: Type HD QBO BO MM SB VIEW User Authorization Trader Qualified Back Office Staff Back Office Employee Market Maker Security Coordinator View User (read only) Some user functions may be combined with each other, e.g. HD/BO or SB/VIEW, but as mentioned before, it is recommended to keep the various functional areas separated from one another. 12

13 Page 13 of General Provisions for the Maintenance of User IDs Any user ID needs to be personified and can only be set up for a physical person. A Eurex user ID may be used solely by its registered user and may not be shared. A trader must be admitted before he can trade on Eurex. If a user no longer requires his ID, Eurex must be requested to delete the user ID. When requesting deletion of a trader ID, it must be stated whether the trader is also returning his admission at Eurex. The same applies for registered Qualified Back Office personnel. Any user registered for a US-based member must have a user ID starting with U to uniquely identify US users. Any new Order Routing subgroup must start with OR/UR and be approved by Eurex. Setting up a technical user ID requires the approval of Eurex Markets Services. 4.3 User ID Maintenance in the Eurex System For further information on the security functions in the Eurex system please refer to the Eurex System Security Guide. It contains a detailed description of the process for the maintenance of the security functions made available by the Eurex system. It also outlines details on Access Levels and Trader Product Assignment Maintenance. 13