§ 38
1. Trading in structured instruments in the market maker system may be suspended in particular in the following cases:
a) at least of the orders of the market maker, which the market maker is required to maintain at a given time (for a given status of the instrument) according to the contract and the provisions of this Division, is missing in the order book (“Suspension – No Market Maker”),
b) an order is submitted whose execution would result in a trade being made at a price which exceeds the limit price of the virtual market maker sell order (“Suspension of trading with halting”),
c) trading in a financial instrument which is the underlying of the structured instruments is suspended, or publication of the value of such underlying is discontinued, or trading in instruments making up a portfolio of an index underlying the structured instruments is suspended (“Suspension – No Underlying”),
d) circumstances/event occurs, which according to information presented in the information document results in trading being suspended, expiry of or an obligation for the issuer to repurchase given structured instruments (“Suspension – Knock-out”).
2. Trading is suspended automatically in cases referred to in sub-paragraphs 1(a) or 1(b) and automatically or on the basis of a decision of the Exchange Management Board or the chairman of the session in cases referred to in sub-paragraphs 1(c) or 1(d).
125
NOTE: Only the Polish version of this document is legally binding. This translation is provided for information only. Every effort has been made to ensure the accuracy of this publication. However, the WSE does not assume any responsibility for any errors or omissions.
§ 39 Suspension – No Market Maker
1. “Suspension – No Market Maker” may only take place in the continuous trading phase.
2. During suspension referred to in sub-paragraph 1, broker’s orders may be submitted, modified and cancelled.
3. Suspension ends once the market maker in response to a RFQ message submits an order/orders required according to the contract and the provisions of this Division.
4. If there is/are no order/orders of the market maker required according to the provisions of this Division in the opening auction, the opening price is not determined, the structured instrument moves to the continuous trading phase, and trading in the instrument is automatically suspended without halting (“Suspension – No Market Maker”). The provisions of sub-paragraphs 1 – 3 apply accordingly.
§ 40 Suspension of trading with halting
1. Suspension of trading with halting may take place in the opening auction and the continuous trading phase.
2. An order whose execution in the continuous trading phase would result in a trade being made at a price exceeding the limit price of the virtual market maker sell order (order which caused suspension) is executed in part within the applicable limit price of the virtual market maker sell order and the unexecuted part remains in the order book and is included in the determination of the TOP.
3. During suspension referred to in sub-paragraph 1, broker’s orders may be submitted, modified and cancelled.
4. During suspension referred to in sub-paragraph 1, the provisions of § 4.3 apply accordingly.
5. Suspension referred to in sub-paragraph 1 ends once a TOP within the market maker spread has been determined.
§ 41 Suspension – No Underlying
1. “Suspension – No Underlying” may take place in the opening auction and the continuous trading phase.
2. Suspension takes place automatically on the fulfilment of the conditions referred to in
§ 38.1(c), subject to sub-paragraphs 3 and 4.
126
NOTE: Only the Polish version of this document is legally binding. This translation is provided for information only. Every effort has been made to ensure the accuracy of this publication. However, the WSE does not assume any responsibility for any errors or omissions.
3. If there is no automatic suspension, the suspension decision is made on the basis of an application of the issuer of the structured instruments, subject to sub-paragraph 4.
4. If the Exchange receives information which justifies the suspension of trading, the Exchange Management Board or the chairman of the session may suspend trading in the structured instruments, if there is no automatic suspension, without application of their issuer.
5. If there is an automatic “Suspension – No Underlying”, broker’s orders may be submitted, modified and cancelled.
6. In case of suspension by decision of the Exchange Management Board or the chairman of the session, the decision determines whether broker’s orders may be submitted, modified or cancelled during suspension.
7. In case of “Suspension – No Underlying” in whatever procedure, broker’s orders which exist in the order book before the suspension do not become void unless the Exchange Management Board or the chairman of the session decides otherwise.
§ 42 Suspension - Knock-out
1. “Suspension – Knock-out” may take place in the opening auction and the continuous trading phase.
2. Suspension takes place automatically on the fulfilment of the conditions referred to in
§ 38.1(d), subject to sub-paragraphs 3 and 4.
3. If there is no automatic suspension, the suspension decision is made on the basis of an application of the issuer of the structured instruments, subject to sub-paragraph 4.
4. If the Exchange receives information which justifies the suspension of trading, the Exchange Management Board or the chairman of the session may suspend trading in the structured instruments, if there is no automatic suspension, without application of their issuer.
5. there is an automatic “Suspension – Knock-out”, no new broker’s orders may be submitted and orders in the order book may not be modified or cancelled by exchange members.
6. In case of suspension of trading by decision of the Exchange Management Board or the chairman of the session, the decision determines whether broker’s orders may be submitted, modified or cancelled during suspension.
7. In case of “Suspension – Knock-out” in whatever procedure, broker’s orders which exist in the order book become void after the close of the session on that day unless trading in the instruments is first resumed or, by decision of the Exchange Management Board or the chairman of the session, trading is to be resumed in the next trading session at the latest.
127
NOTE: Only the Polish version of this document is legally binding. This translation is provided for information only. Every effort has been made to ensure the accuracy of this publication. However, the WSE does not assume any responsibility for any errors or omissions.