Listing and Trading Operations
IT information

IT – INET – Enhancements to the PRM check; Market Order Protection in Calls (68/15)

Nasdaq Nordic and Nasdaq Baltic have decided to further enhance the voluntary INET Pre-Trade Risk Management (PRM) functionality when it comes to the possibility for the member to validate the theoretical impact of Market Price Orders in auctions.

A description on the current PRM functionality and configuration can be found in the Service Guide.

Enhancements to the PRM functionality

Based on member request the INET PRM service “Market Order Protection in Calls” will get four distinct enhancements:

1. The current configuration will be moved from Port level to PRM account level, and be possible to view over the PRM GUI in the Nordic Workstation.
   
   This move will allow greater flexibility by applying the protection to individual users. A PRM Account is always associated to one specific Market Participant Identifier (MPID). A PRM Account can consist of one, several or all of the members User IDs. A User ID can belong only to one PRM Account. 
    
2. In addition to the Opening and Closing, the check will also be applied in all other auctions:
   
    - Volatility halts
    - Scheduled Intra day
    - Halt releases
    - Other auctions
   
   The parameters used for the Closing auction will apply for the auctions mentioned in the list above.
    
3. In event of uncrossed books; the Reference price check will be performed even though an Equilibrium Price does not exist. However there must be at least one opposite order in the book, otherwise there is nothing to value towards. In such case the market order will be accepted.
   
   Please note that the Reference price check requires that the order book is in an auction state. If the order book is in pre-trading state there is no validation active.
    
4. The PRM Service will be available for users of Nordic Workstation.
    

Protocol specifications     

There will be no updates to any protocols due to these changes. Nasdaq Nordic protocol specifications are always available at Nasdaq Nordic Technical Information web site.

Implementation and migration schedule

The enhancements of the PRM service are expected to be launched January 18, 2016. Members having configuration on Port level will have to update Nasdaq Cash Equity Operations on the PRM account configuration. See contact details below.

Time Schedule

• INET Test (OTF) – December 14, 2015
• INET Production – January 18, 2015

PRM account information must be sent to Nasdaq Cash Equity Operations latest CET 12:00 January 15, 2016.

Testing access, support and configuration

Members need to request the PRM check, and update PRM account information by contacting Nasdaq Cash Equity Operations:

Tel: +46 8 405 6410
E-mail: operator@nasdaq.com

Questions and feedback

For further information and feedback concerning this information, please contact Ronny Thellman, +46 8 405 6313, ronny.thellman@nasdaq.com.
 

Best regards,
Nasdaq Nordic and Nasdaq Baltic

Nasdaq Copenhagen, Nasdaq Helsinki, Nasdaq Iceland, Nasdaq Riga, Nasdaq Stockholm, Nasdaq Tallinn and Nasdaq Vilnius are respectively brand names for Nasdaq Copenhagen A/S, Nasdaq Helsinki Ltd, Nasdaq Iceland hf., Nasdaq Riga AS, Nasdaq Stockholm AB, Nasdaq Tallinn AS and AB Nasdaq Vilnius. Nasdaq Nordic represents the common offering by Nasdaq Copenhagen, Nasdaq Helsinki, Nasdaq Iceland and Nasdaq Stockholm. Nasdaq Baltic represents the common offering by Nasdaq Tallinn, Nasdaq Riga and Nasdaq Vilnius.