08/13/2002
The COMEX Governors Committee, on July 24, 2002, approved revisions to COMEX Rule 4.82, Submission of Trade Data. The Rule was revised to incorporate specific language limiting the amount of time that trades can rest in the designated allocation account. The proposed language specifies that the trades must be moved by the end-of-day correction period, as defined in section (c) of the same Rule.
Proposed Rule 4.47 affects a "Special Matter" under the terms of the COMEX By-Laws. Accordingly, COMEX Division Members have ten (10) days to submit a petition signed by owners of at least 155 COMEX Division Memberships requesting a vote of the COMEX Division Members to disapprove the amendments, pursuant to the procedures set forth under COMEX By-Law 205(D). If a petition is not received, or if the amendment is not disapproved, it will be submitted to the Commodity Futures Trading Commission.
Proposed additions to Rule 4.82 are Bold. Proposed deletions are
4.82 - Submission of Trade Data
[Sections (a) through (e) remain the same.]
(f) Trade Allocation
(1) If a member or member firm receives an order or series of orders which, if filled, either partially or fully, will require allocation of trades between or among multiple accounts, the member or member firm may input the data pertaining to the trade executions into a specially designated allocation account to facilitate trade check-out and data processing of such trades.
(2) For the purposes of compliance with the input schedule set forth in section (c) of this rule, if the member or member firm has not received specific allocation instructions prior to trade execution or the volume of orders required to be allocated is such that the member or member firm cannot input all date elements needed to separately identify each account for which trades were executed before the prescribed submission deadline, the member or member firm shall transmit the trade to the Exchange using an aggregate account identifier that will distinguish the traded placed in the allocation account from all other trades for which data is being submitted.
(3) After initial input of data for the allocation account, the member or member firm shall input specific account identification for each contract purchased or sold. Specific account identification for each contract purchased or sold must be entered as soon as practicable but in no event later than the day of execution, prior to the end of the correction period, as described in paragraph (c) above.
(4) If the member or member firm has not allocated a trade or trades held in an allocation account by the end of the correction period on the day of trade execution, the trade or trades shall be placed in the account of the executing floor member at his PCM.