CME: Mandatory iLink 3 Binary Order Entry Protocol for MSGW and BrokerTec Migration
Q1 2021
CME Group will be launching iLink 3, a new order-entry protocol for trading futures, options and BrokerTec products on CME Globex. All customers connected via Market Segment Gateway (MSGW) are encouraged to migrate to iLink 3 as early as possible prior to the iLink decommission. iLink 2 and iLink 3 for MSGW will run in parallel until February 26, 2021, and at that time will incur additional charges by CME. On March 28, 2021, iLink 2.0 for MSGW will be decommissioned.
BrokerTec products will migrate to CME in Production on January 31, 2021 and will only be available on iLink 3 MSGW. Customers will need to obtain a dedicated iLink Session ID to be used for only the BrokerTec market segment. CGW will remain on iLink 2 and will not be impacted.
MSGW iLink3 for CME and BrokerTec products is now available in UAT for customer testing.
CME will be holding Saturday Mock Sessions for BrokerTec. TT will be participating in the test on January 9, 2021. Customers who wish to participate should register with the CME via this link and contact your Onboarding/Customer Success Manager to confirm with TT.
For the iLink 2 to 3 migration, CME Group does not require customers to obtain new iLink sessions. Customers will have the ability to migrate their existing iLink sessions from iLink 2 to 3 within the CME Request Center. For all existing migrated sessions, standard Session Policy Charges will apply.
Customers who wish to utilize CME’s Self Match Prevention functionality should associate their existing SMP IDs to their account, or create a new SMP ID.
X_TRADER® Platform Impact
X_TRADER will not support iLink 3.0 for MSGW or BrokerTec products that will migrate to CME on January 31, 2021.
Customers keeping Link 2.0 MSGW connections will need to move their connections to CGW to maintain access to CME. Customers are strongly encouraged to migrate to the TT platform in early Q1/2021.
TT® Platform Impact
We will support both the iLink 3.0 upgrade and the BrokerTec US migration to CME on the TT platform. iLink 3.0 for CME products is currently available in UAT for customer testing. BrokerTec products are now available in UAT.
Additional Resources
Globex Notice October 1, 2020
HKEX: New Production Addition – Hang Seng TECH Index Options
January 18
HKEX is launching Hang Seng TECH Index Options on January 18, 2021.
X_TRADER Platform Impact
To trade these products, apply an updated pMerge file to all HKEX Gateways:
- Copy the HKEX.pmg file to <drive letter>:\tt\config.
- Stop GuardServer.
- Navigate to <drive letter>:\tt\bin.
- Double-click pMerge.exe. The Enter Exchange Name window appears.
- Specify the exchange name and flavor and click OK. The Open Guardian product table merge file window appears.
- Navigate to <drive letter>:\tt\config and select the HKEX.pmg file. pMerge will update the existing Guardian Product Table with the correct values. After pMerge completes its tasks, the pMerge status bar displays Finished.
- Close the pMerge status bar.
- Start GuardServer.
The above listed steps need to be repeated for each HKEX Gateway
After pMerge runs, verify that the Guardian Product Table contains the following values:
| Contract | Product Code | Point Value |
| Hang Seng TECH Index Futures and Options | HTI | 50 |
TT Platform Impact
No customer action required; Products will be available automatically.
LME: Prohibition on Iceberg Order Type for Specified Contracts
January 25
Please see LME member notice 20/283, which advises that on January 25, the LME will introduce a rule-based prohibition in relation to the use of native LMEselect discretionary and Iceberg order types for specified contracts. The confirmed scope and list of LME Contracts subject to the Prohibition are detailed in section 9 of the notice.
Note that LMESelect will not reject these Prohibited orders.
TT Platform Impact
On January 25, users will no longer have the ability to submit Iceberg orders on the products listed as prohibited in section 9 of LME Notice 20/283.
X_TRADER Platform Impact
No changes to restrict Icebergs on the prohibited products will be made on the X_TRADER platform. Customers should refrain from placing Iceberg orders on the products listed as prohibited in section 9 of LME Notice 20/283.
SGX: Suspension and Dormancy of SGX MSCI Derivatives Contracts
January 29
SGX will be implementing the suspension and dormancy of a second batch of MSCI contracts. These contracts will be delisted in due course. The Exchange will suspend trading of contracts and contract months that have no existing open interest.
Contract months with open interest will continue trading up til close of the T-session on Friday, January 29. Thereafter, the Exchange will restrict trading for these contracts only to enable the closing out of positions.
The following contracts will be suspended on Friday, Jan 29:
| Product Name | Product Symbol |
SGX MSCI Emerging Markets (USD) Index Futures | EM |
| SGX MSCI Australia Net Total Return (USD) Index Futures | NAU |
| SGX MSCI Emerging Market Net Total Return (USD) Index Futures | NEM |
| SGX MSCI Vietnam Net Total Return (USD) Index Futures | NVN |
| SGX MSCI Indonesia Net Total Return (USD) Index Futures | NID |
| SGX MSCI Japan Net Total Return (USD) Index Futures | NJP |
| SGX MSCI Philippines Net Total Return (USD) Index Futures | NPH |
| SGX MSCI Thailand Net Total Return (USD) Index Futures | NTH |
| SGX MSCI Taiwan Net Total Return (USD) Index Futures | NTW |
To allow for the orderly close out of outstanding open interest, the handling of the following Relevant Contracts will be as follows:
| Relevant Contracts | SGX MSCI China Free Net Total Return (USD) Index Futures (NCH)SGX MSCI Emerging Market Asia Net Total Return (USD) Index Futures (NEA)SGX MSCI Malaysia Net Total Return (USD) Index Futures (NMY)SGX MSCI India Net Total Return (USD) Index Futures (NMD) |
| January 2021 Contract month | All screen trading will continue as normal until Last Trading Day (LTD) of the January 2021 contract. |
| Contract months with no open interest (excluding January 2021) | All screen trading to cease after the close of the T-session, Monday, 4 January 2021. This includes all existing contract months of the above Relevant Contracts except for March 2021* expiry. |
| Contract months with open interest (excluding January 2021) | The March 2021* contract series will continue to be available for trading until the end of T session on Friday, 29 January 2021. Thereafter, these series will be disabled. Participants who are still holding positions beyond 29 January 2021 may either (i) hold the contract to their natural expiry or (ii) both counterparties to submit a form via their Clearing Member(s) to Singapore Exchange Derivatives Clearing Limited (“SGX-DC”) to request for registration of the trade for clearing by SGX-DC. SGX-DC will approve if there is no increase to total Open Interest. |
*as of Jan 4
The following contracts will be made dormant effective Feb 1, 2021:
| Product Name | Product Symbol |
SGX MSCI Emerging Markets (USD) Index Futures | EM |
| SGX MSCI Australia Net Total Return (USD) Index Futures | NAU |
| SGX MSCI Emerging Market Net Total Return (USD) Index Futures | NEM |
| SGX MSCI Vietnam Net Total Return (USD) Index Futures | NVN |
| SGX MSCI Indonesia Index Futures | ID |
| SGX MSCI Indonesia Net Total Return (USD) Index Futures | NID |
| SGX MSCI Japan Net Total Return (USD) Index Futures | NJP |
| SGX MSCI Philippines Net Total Return (USD) Index Futures | NPH |
| SGX MSCI Thailand Net Total Return (USD) Index Futures | NTH |
| SGX MSCI Taiwan Net Total Return (USD) Index Futures | NTW |
FIA: Execution Source Code Schema Initiative (Tag 1031)
Timeline varies by exchange
Multiple exchanges, in cooperation with the FIA Execution Source Code Schema Initiative, are moving forward with plans to implement FIX tag 1031 (CustOrderHandlingInst) on their APIs.
Exchange-Specific Plans
- CME: Tag 1031 is supported and is mandatory.
- ICE: Tag 1031 is supported, but not required.
- Eurex: Tag 1031 is supported, but not required.
- CurveGlobal/IDEM: Tag 1031 is supported with the SOLA 14 Upgrade on February 3, but is not required.
X_TRADER Platform Impact
For CME, tag 1031 is now available in production. Customers should enter a valid value in the FFT6 field in Customer Defaults and/or FIX Account Defaults. For FIX Order Routing applications, FFT6 maps to tag 16903. If no value is set, a default value of “Y” will be sent. CME Gateway 7.18.49 was released on October 18.
For ICE, tag 1031 is now available with ICE Gateway 7.18.29. Customers should use FFT6 to send the value to the exchange. The field is optional for ICE.
TT Platform Impact
For CME, tag 1031 is now available for use in Production. Customers should select a valid value in Setup or set Order Tag Defaults.
For ICE, tag 1031 is now available for use in Production. Customers should select a valid value in Setup or set Order Tag Defaults to send the value to the exchange. Customers can choose not to select any value as this is an optional field for ICE.
For Eurex, support of tag 1031 on the TT platform is now available. Customers should select a valid value in Setup or set Order Tag Defaults to send the value to the exchange. Customers can choose not to select any value as this is an optional field for Eurex. On the X_TRADER platform, tag 1031 is not currently supported.
For CurveGlobal and IDEM, support for tag 1031 was added on February 3 for both exchanges.
Additional Resources
FIA Indirect Clearing Documentation
PRODUCT RELEASES
No new products were released this week.