Notice to Members
Notice No. 678 12/27/2006
COMPLIANCE ADVISORY: Use of Suspense Accounts by Floor Members of the NYMEX and COMEX Divisions for Customer Order Execution
Prior Notice No. 655 and Notice No. 630 addressed wireless policies in place on both the NYMEX and COMEX Divisions with specific regard to the placement of orders into the CME Globex® system. With specific reference to the placement of type 2 and 4 customer orders, Floor Members or authorized NYMEX and COMEX Broker Assistants ("NBAs" or "CBAs," respectively) may utilize a suspense account for purposes of order entry. The suspense account should NOT be the general personal trading account which the Member uses for his/her personal trading. The account must be a second personal account which the Floor Member (or trading assistant) has established with his/her Primary Clearing Member ("PCM") solely for the purpose of Globex® customer orders subject to reallocation with the consent of such PCM. All trades executed in the suspense account must still otherwise have a floor order ticket associated with the order. Reallocation of the execution must be completed within one hour of the execution on the Globex® system other than orders which are otherwise eligible for post-execution (end of day) allocation. The suspense account may also be used for type 3 orders and must also adhere to the policies stated above. A revision to policies generally regarding type 3 orders handled on the NYMEX and COMEX Division floors for execution in the Globex® system will be distributed under separate cover.
Should you have any questions or require any further information, please contact exchangeinfo@nymex.com