data = [ { "moduleName": "Pre-negotiated Orders", "questions": [ { "question": "Prior to a Participant undertaking to pre-negotiate orders on behalf of a client the Participant must:", "feedback": "Pursuant to ASIC Market Integrity Rules (Futures Markets) 2017 the Participant must receive written authorisation from the client before undertaking pre-negotiated orders, verbal authorisation is not sufficient.", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Obtain verbal authorisation from the client" }, { "optionId": 2, "optionText": "B. Advise the Market Operator of the client’s details" }, { "optionId": 3, "optionText": "C. Be authorised to do so by the client in writing" }, { "optionId":4, "optionText":"D. Disclose details of the clients instructions to the market" } ] }, { "question": "What is the minimum volume threshold when Pre-negotiating orders in New Zealand electricity futures contracts:", "feedback": "The minimum thresholds of 1 lot applies to all contracts according to ASX 24 Procedure 4060 governing pre-negotiated trades.", "correctAnswer": "1", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 1 lot" }, { "optionId": 2, "optionText": "B. 5 lots" }, { "optionId": 3, "optionText": "C. 25 lots" }, { "optionId":4, "optionText":"D. 100 lots" } ] }, { "question": "Pam is a trader with Broker A, an ASX 24 Trading Participant, who has received an order from one of her clients that can be pre-negotiated. Under the ASX 24 Operating Rules and Procedures, which of the following is Pam permitted to do whilst pre-negotiating the order:", "feedback": "All of these answers are correct. In accordance with ASX 24 Operating Rules and Procedures. Pam can withhold the order to solicit counterparties, aggregate orders, and disclose details of client instructions.", "correctAnswer": "4", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Solicit counterparties to the order amongst other Trading Participants and clients whilst withholding transmission of the order" }, { "optionId": 2, "optionText": "B. Aggregate separate orders from counterparties in order to satisfy the original order" }, { "optionId": 3, "optionText": "C. Disclose details of the clients’ instructions" }, { "optionId":4, "optionText":"D. All of the above" } ] }, { "question": "Broker A has pre-negotiated a trade in the BNU5 contract on behalf of their client, Electricity Corporation. Broker A are using Direct Market Access provided by Participant A, an ASX 24 Trading Participant, to enter the Request for Quote and subsequent order.
Who is responsible for ensuring that the Request for Quote and order is entered in accordance with ASX 24 Operating Rule4060?", "feedback": "It is the Trading Participant’s responsibility to ensure that all pre-negotiated orders submitted via its gateway are entered in accordance with the ASX 24 Operating Rules. ASX 24 Operating Rule 3000 states: A Trading Participant is responsible for the accuracy of details, the integrity and bona fides of all Trading Messages that are submitted containing their unique identifier, regardless of the method by which the Trading Message is submitted.", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Electricity Corporation (the client) " }, { "optionId": 2, "optionText": "B. Broker A (the trader)" }, { "optionId": 3, "optionText": "C. Participant A (the ASX 24 Trading Participant) " }, { "optionId":4, "optionText":"D. The Clearing Participant" } ] }, { "question": "Mary is a trader with Participant A, an ASX 24 Trading Participant. She has successfully pre-negotiated an order for 50 lots of the September 2025 Base Queensland Electricity futures contracts at $75.00 between two clients. As the Trading Participant who has pre-negotiated the order, Mary must make an enquiry via the Trading Platform Request for Quote Facility for a market in that contract.
Which of the following information does NOT need to be included in that message?", "feedback": "The request for quote needs to specify all information that is material to the pricing and trading of the orders to be executed, however, the price does not need to be specified.", "correctAnswer": "2", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. The ratio or delta hedge if relevant" }, { "optionId": 2, "optionText": "B. The price." }, { "optionId": 3, "optionText": "C. A description of the intended trade using common market terminology" }, { "optionId":4, "optionText":"D. A description of the contract or option that will form the trade" } ] }, { "question": "For Australian electricity futures contracts, what is the minimum prescribed time that must pass between the entry of the Request for Quote message and the entry of the pre-negotiated orders into the outright market is ___?___and the minimum prescribed time that must pass between the entry of the Request for Quote message and the entry of the User Defined markets is ___?___", "feedback": "A minimum of 30 seconds must pass between the entry of the Request for Quote message and the entry of the pre-negotiated orders into either the outright market or via the User Defined Strategy Order.", "correctAnswer": "2", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 15 seconds and 15 seconds" }, { "optionId": 2, "optionText": "B. 30 seconds and 30 seconds" }, { "optionId": 3, "optionText": "C. 30 seconds and 45 seconds" }, { "optionId":4, "optionText":"D. 30 seconds and 90 seconds" } ] }, { "question": "Craig is a trader with the futures broker – Broker A, an ASX 24 Trading Participant. He has successfully pre-negotiated an order between two counterparties and is now required to make an enquiry via the Trading Platform Request For Quote Facility.
Once the minimum prescribed time between the message and the entry of orders has passed, how long does Craig have to execute the orders?", "feedback": "After the prescribed time has elapsed, the time allowed for execution is 90 seconds.", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 5 seconds" }, { "optionId": 2, "optionText": "B. 30 seconds " }, { "optionId": 3, "optionText": "C. 90 seconds " }, { "optionId":4, "optionText":"D. Prior to the market close for the trading session in which the trade was negotiated" } ] }, { "question": "Jonathan is a trader with the futures broker – Broker A. He is pre-negotiating an order on behalf of David from Electricity Corporation, who wants to sell 25 lots of the March 2025 NSW Base Load Electricity (BNH5) futures contracts. Jonathan has found a counterpart that is willing to trade and entered a request for quote but just as he is about to enter the orders another Trading Participant enters an order at a better price than that pre-negotiated.
Which of the following scenarios is allowable under the ASX 24 Operating Rules:", "feedback": "A pre-negotiated order does not guarantee execution for either party. Should the resultant prices be better than the levels established during pre-negotiation, then the Participant holding the pre-negotiated order is obliged to trade with the best available price", "correctAnswer": "2", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Jonathan should no longer proceed with entering the orders as he is no longer guaranteed they will cross with each other" }, { "optionId": 2, "optionText": "B. Jonathan is obliged to proceed with the entry of both orders even if this could result in part or all of one side of the parties missing out on the trade" }, { "optionId": 3, "optionText": "C. Jonathan should wait until the other Trading Participants order is removed before proceeding" }, { "optionId":4, "optionText":"D. All of the above" } ] }, { "question": "Which of the following is permitted to be traded under the pre-negotiation rules:", "feedback": "All of the above contracts may be traded under ASX 24 Operating Rules Procedure 4060", "correctAnswer": "4", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Australian strip electricity futures contracts " }, { "optionId": 2, "optionText": "B. Australian cap electricity futures contracts " }, { "optionId": 3, "optionText": "C. New Zealand electricity strip options" }, { "optionId":4, "optionText":"D. All of the above may be traded under the pre-negotiation rules" } ] }, { "question": "Which of the following statements is correct:
Pre-negotiated Orders do not:", "feedback": "Pre-negotiated Orders do not guarantee execution for the parties involved as the Participant holding the pre-negotiated order is obliged to trade with the best available price", "correctAnswer": "1", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. guarantee execution for the parties involved" }, { "optionId": 2, "optionText": "B. provide Trading Participants with the opportunity to facilitate client business off-market prior to disclosing and then crossing the orders on the ASX 24 trading platform." }, { "optionId": 3, "optionText": "C. improve trader flexibility by allowing participants to seek and pre-arrange deals with counterparties outside the scope of the centralised marketplace." }, { "optionId":4, "optionText":"D. All of the above." } ] } ] } ]