data = [ { "moduleName": "User Defined Strategy Orders", "questions": [ { "question": "How can Strategy Orders consisting of option orders of seven (7) legs or more be executed?", "feedback": "Strategy Orders with 7 or more legs must be executed as a Block Trade according to Rule 4820. This helps ensure market participants arrange and transact orders of significant size or complexity.", "correctAnswer": "2", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. By the use of a User Defined Strategy Order." }, { "optionId": 2, "optionText": "B. As Block Trade Orders executed and registered in accordance with Rule 4820." }, { "optionId": 3, "optionText": "C. They cannot as this is not permissible." }, { "optionId":4, "optionText":"D. Via the RFQ facility." } ] }, { "question": "Based on this pricing information for NSW Base Load Electricity Futures contracts, Frances wants to trade the following User Defined Strategy Order:

ContractBidAskLowHighLast TradePrevious Settlement
BNM932.1532.6032.1032.5532.1032.00
BNZ955.8056.4555.8056.3056.3056.20
BNM054.1054.70   54.50

Does this strategy comply with the price limits for User Defined Strategy Orders:", "feedback": "The sell price for BNZ9 at 56.60 which is higher than the day’s high of 56.30. Prices for all legs of a User Defined Strategy Order must fall into the high/low of the Trading Date for the appropriate contract.", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Yes all legs comply with the price limits for User Defined Strategy Orders" }, { "optionId": 2, "optionText": "B. No, the price of the BNM9 leg is higher than the previous settlement price" }, { "optionId": 3, "optionText": "C. No, the price of the BNZ9 leg falls outside the range of the high/low of the day" }, { "optionId":4, "optionText":"D. Not enough information has been provided to determine whether Frances has complied with the price limits" } ] }, { "question": "User Defined Strategy Orders allow Trading Participants to create their own multi-legged contingent strategies consisting of up to_____legs.", "feedback": "The maximum number is six legs in a User Defined Strategy Order", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 2" }, { "optionId": 2, "optionText": "B. 4" }, { "optionId": 3, "optionText": "C. 6" }, { "optionId":4, "optionText":"D. 8" } ] }, { "question": "Each individual leg of a User Defined Strategy Order must be allocated to:", "feedback": "Each side of User Defined combinations is for 1 client and therefore must be allocated to the 1 account. A strategy cannot be split across multiple accounts. This is an ASIC MIR requirement.", "correctAnswer": "1", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. The same account" }, { "optionId": 2, "optionText": "B. The same Trading Participant" }, { "optionId": 3, "optionText": "C. The same Clearing Participant" }, { "optionId":4, "optionText":"D. There are no rules governing the allocation of Custom Market trades." } ] }, { "question": "In the example below the trades if executed in full would see a total volume of_____lots in the futures contract and_____lots for the option contract.
HNZ85800Leg Vol 2Buy
HNZ805800C307Leg Vol 5Sell
Volume:7", "feedback": "This strategy has a total volume of 7 which is multiplied against the volumes on each individual leg within the strategy. 7 volumes (2 Futures + 5 options) 14 futures + 35 options.", "correctAnswer": "4", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 2 & 5" }, { "optionId": 2, "optionText": "B. 7 & 14" }, { "optionId": 3, "optionText": "C. 14 & 25" }, { "optionId":4, "optionText":"D. 14 & 35" } ] }, { "question": "Under which User Defined Strategy Order is a volume ratio that is greater than 150 allowable:", "feedback": "For an option strategy, which includes two or more option legs in a ratio, and is basis futures.", "correctAnswer": "3", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. An intra-commodity spread." }, { "optionId": 2, "optionText": "B. An inter-regional spread." }, { "optionId": 3, "optionText": "C. For an option strategy, which includes two or more option legs in a ratio, and is basis futures." }, { "optionId":4, "optionText":"D. All of the above." } ] }, { "question": "James is a trader with Broker A, an ASX 24 Trading Participant. James wants to enter the following User Defined Strategy Orders:
Buy 25 lots of HVZ9 4600 Put @ 2.24
Sell 25 lots of HNZ9 4600 Call @ 2.00
In what ratio should James enter this order:", "feedback": "All orders should be entered in at their lowest common denominator. In this case because we are buying and selling the same number of lots we will enter this trade in the ratio 1:1", "correctAnswer": "1", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. 1:1" }, { "optionId": 2, "optionText": "B. 2.5:2.5" }, { "optionId": 3, "optionText": "C. 5:5" }, { "optionId":4, "optionText":"D. 25:25" } ] }, { "question": "Under which User Defined Strategy Order scenario below could the orders or resultant trades be cancelled by the Market Operator?", "feedback": "The market operator will cancel trades in scenarios such as when order creates an identical strategy or net price to an existing strategy. A strategy must also trade between the bid and offer that has been established in the User Defined Strategy Order.", "correctAnswer": "4", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Where a Net Price User Defined Order exists for the same strategy, contract month(s) and strike prices." }, { "optionId": 2, "optionText": "B. Where a Fixed Leg User Defined Order exists for the same strategy, contract month(s) and strike prices." }, { "optionId": 3, "optionText": "C. Where a bid and offer has been established in the User Defined Strategy and a trade is executed lower than the best bid or higher than the best offer." }, { "optionId":4, "optionText":"D. All of the above." } ] }, { "question": "Alex is a trader with Broker A, an ASX 24 Trading Participant. Alex has received a User Defined Strategy Order (UDSO) from a client, as follows:
Buy 25 lots of HNZ905300P @ 0.55
Buy 25 lots of HNZ905200P @ 0.40
Alex broadcasts details of the strategy to the market, enters the orders into the trading platform. At close of trading the UDSO has not traded. The next day the client provides an identical UDSO. What should Alex do?", "feedback": "As all User Defined Strategy Orders are purged at the end of the trading day, A Trading Participant will need to rebroadcast the details of the new strategy and re-enter the order into the trading platform at the beginning of the next trading session.", "correctAnswer": "4", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. Nothing, the original order is still working in the system." }, { "optionId": 2, "optionText": "B. Broadcast details of the new strategy to the market using the Message Facility. " }, { "optionId": 3, "optionText": "C. Re-enter the order into the trading platform." }, { "optionId":4, "optionText":"D. Broadcast details of the new strategy to the market, then re-enter the orders into the trading platform" } ] }, { "question": "When matching a User Defined Strategy Order ASX Trade24 will:", "feedback": "When a User Defined Strategy Order is matched, Trading Participants will receive confirmations for each leg of the User Defined Strategy Order at the user defined ratio.", "correctAnswer": "2", "questionType": "single", "answers": [ { "optionId": 1, "optionText": "A. First call the Trading Participant to ensure the details are correct." }, { "optionId": 2, "optionText": "B. Provide confirmations for each leg of the User Defined Strategy Order at the user defined ratio." }, { "optionId": 3, "optionText": "C. Randomly assign each leg of a User Defined Strategy Order to different Trading Participants throughout the day." }, { "optionId":4, "optionText":"D. None of the above." } ] } ] } ]