Directed Request for Quote (DRFQ)

Negotiate block trades across six asset classes

Directed Request for Quote (DRFQ) on CME Direct revolutionizes the process for privately negotiated transactions, streamlining execution of block trades in exchange-eligible futures, options, and strategies.

Introduction to DRFQ

DRFQ is available through CME Direct for privately negotiated transactions, in which participants request and negotiate quotes for block trades and subsequent submission. If a DRFQ initiator (either a broker or a trader) wants a quote for a block trade in a futures contract, option contract, or strategy, they select recipients from their network in the DRFQ window. The recipients are notified of the market and the two parties can continue their one-to-one negotiation until one party acts on a shown level. Once a quote has been confirmed, the deal ticket is automatically populated for submission. This streamlined process provides:

  • Ease of use: a single electronic platform for an entire negotiation lifecycle, from inception to block submission
  • Structured negotiations: a network on CME Direct to privately negotiate blocks in structured windows
  • Organized recordkeeping: exportable audit trails for booking requirements

Interested in learning about additional functionality on CME Direct?

How it works

Get faster and more accurate block trade workflows with DRFQ. Source liquidity, negotiate, and book block trades in one place without using phones or instant message.

Execute eligible block trades more efficiently

DRFQ allows users to send requests to multiple liquidity providers.  After a market is received, the requestor can choose to further negotiate with any or all the responding counterparties. The DRFQ Directory, which is embedded within CME Direct, lists liquidity sources by asset class.

Source liquidity listed by asset class

Use DRFQ to request a quote on an eligible block contract, future, option, or strategy from a participant in your network. Leverage structured negotiation tickets to easily identify best fill opportunities.

Prepopulated deal tickets

Agreed deals are prepopulated with all the required information including, price, quantity, and execution time for quick and efficient reporting.

Ensure bookkeeping and compliance

Participants can transact with compliance built in, since DRFQ is a market-regulated platform. Use 90-day audit trails for insight into negotiations and record-keeping.

Get Started

Ready to start using DRFQs? Follow these simple steps:

1

Log in to CME Direct

If you’re an existing CME Direct user, log in to CME Direct now.

If you’re new to CME Direct, learn how to register for access.

2

Add DRFQ views to your CME Direct layout

Add a DRFQ view to your CME Direct layout by navigating to Menu > New View > DRFQ. You can follow the same steps to view liquidity providers.

To add the DRFQ Directory to view liquidity providers, navigate to Menu > New View > DRFQ Directory.

3

Build your Network

Create and manage relationships by selecting “Contacts” in your DRFQ view. Select “Add New” to send relationship requests to other users and to build your network to begin participating.

Platforms

CME Direct

Access liquid CME Group futures, options, and block markets all on one screen with CME Direct, a fast, secure, and highly-configurable trading front-end that offers access to both CME Globex and CME ClearPort with a single interface.

Contact us

To learn more, or to get started with DRFQ, fill out the form or contact platformsolutions@cmegroup.com.

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