ETO crossings on ASX Trade
Different rules apply to large (special size) crossings and smaller crossings of ETO orders on ASX Trade.
Special size crossings may be reported directly to market if they meet the criteria set out below.
Criteria
Either the consideration for the transaction is:
- equal to or greater than the number of contracts a market maker is required to quote, with a minimum premium value of $50,000; or
- not less than the minimum block trade size for the underlying cash instrument set out in the Market Integrity Rules (currently $1 million, $500,000 or $200,000 depending on the product type).
Combination orders
| Legs | Number of legs that must be special size for the order to qualify |
| 2 | 1 |
| 3 | 2 |
| 4 | 2 |
Resources
ETO Special Size Thresholds (PDF)
ETO Special Size Thresholds (XLS)
ASX Operating Rules Procedure 4060 Part B
ASX Derivatives - ETO crossing rule changes
Smaller crossings
If a crossing doesn’t meet the special size criteria, it must be shown to the market before it is reported. Brokers can choose between these two processes:
Process 1
- Ask for a quote request with size and wait 15 seconds.
- Simultaneously Bid and Offer the full order quantity in TradeMatch within 15 seconds of the quote request expiring.
Process 2
- Enter one side of the trade in the market before asking for a quote request.
- Ask for a quote request with size and wait 15 seconds.
- Enter the other side of the trade in TradeMatch within 15 seconds of the quote request expiring.
After you have followed either Process 1 or Process 2, the order will execute in TradeMatch in price/time priority.
Combination orders
Use either Process 1 or Process 2, entering your quote requests in the Tailor-Made Combination (TMC) series.
