a. All references to the “Capital Market Law” in these Rules are to the Capital Market Law issued by Royal Decree No. M/30 dated 2/6/1424H.
b. The expressions and terms in these Rules carry the same meaning as they do in the Capital Market Law and in the Glossary of defined terms used in the Exchange Rules unless the text explicitly notes an alternate meaning.
c. Any person subject to these Rules may appeal before the Committee any decision or action that the Authority or the Exchange takes in accordance with these Rules.
d. The provisions of the Trading and Membership Rules, the Trading and Membership Procedures, the Securities Borrowing and Lending Regulations, the Short Selling Regulations and the Securities Depositary Centre Rules shall not apply on the Listed Derivatives Products.
e. The Exchange may, after obtaining the Authority's approval, determine the eligibility of investors to trade in Listed Derivatives Products.
f. The effect of Corporate Actions on the size and price of Listed Derivatives Products shall be in accordance with the mechanism and conditions set out in the Derivatives Exchange Trading and Membership Procedures from time to time.
g. These Rules shall not prejudice the provisions of the Capital Market Law, its implementing Regulations, and all relevant laws.
Without prejudice to the provisions of the Capital Market Law, the purpose of these Rules is to regulate:
a. Derivatives Exchange Membership and access to the Derivatives Trading System;
b. the registration of Derivatives Exchange Registered Traders;
c. the disclosure of information by Derivatives Exchange Members to the Exchange; and
d. trading in Listed Derivatives Products by Derivatives Exchange Members.
The Exchange may, after obtaining the Authority's approval, waive any requirement in theseRules based either on a request from the relevant person or on its own initiative.
a. Without prejudice to the Capital Market Law and in the event of an emergency situation the Exchange has the right to:
1. Suspend any trading session or reduce, extend, or otherwise alter the time of any trading session;
2. suspend trading in one or more individual Listed Derivatives Products.
b. The emergency situations covered by this provision are the actual, imminent or threatened occurrence of any of the following:
1. failure of the Derivatives Trading System, or the Clearing System or any parts thereof;
2. failure of the Derivatives Exchange Member’s Technical Equipment or parts thereof, provided that such failure causes incorrect information to be sent to the Derivatives Trading System or affects trading integrity;
3. failure of the network used to connect Derivatives Exchange Members and the Exchange or parts thereof, provided that such failure causes incorrect information to be sent to the Derivatives Trading System or affects trading integrity;
4. any event that may damage the Derivatives Trading System or the Clearing System, such as a cyber-attack;
5. any error during changes or updates in the Derivatives Trading System or the Clearing System;
6. events that make operating the Derivatives Trading System by the Exchange or the Clearing System by the Clearing House impossible, including, natural disasters and unforeseen events; or
7. any error in processing the data entered into the Derivatives Trading System or the Clearing System.
c. In emergency situations, the Exchange will take all reasonable measures to ensure that trading continues in a fair and orderly manner, and that it addresses the situation appropriately. This includes trading on alternative temporary bases.
d. Without prejudice to the Capital Market Law and in any situation that does not amount to an emergency as defined in paragraph (b) of this Article, the Exchange may, with the Authority's approval, suspend any of these Rules’ provisions in whole or in part, or temporarily replace them with new provisions, in addition to suspending trading in whole or in part.
e. The Exchange must make a reasonable effort to inform Derivatives Exchange Members of any measures taken in accordance with this Article as soon as possible.
f. After removal of the cause of the failure, the Exchange will restore normal trading conditions as soon as possible and determine when such normal conditions will take effect.
g. Derivatives Exchange Members must inform their Clientsimmediately of failuresin their Order Management System and in the Derivatives Trading System as well as of the resumption of normal operations.
a. The Exchange shall keep records of all data or information available to it under these Rules or that has been provided to it by a Derivatives Exchange Member or otherwise concerning a Derivatives Exchange Member. Such records should be maintained for at least ten years.
b. Without prejudice to the relevant laws and regulations, the Exchange may supply any information whatsoever concerning the activities of a Derivatives Exchange Member which is subject to these Rules only to the following persons:
1. the Clearing House or any other clearing house with whom the Exchange has entered into an agreement pursuant to which the parties have agreed to exchange information as required and contemplated by these Rules;
2. the Authority, SAMA or any other government authority which is entitled to receive or request any details or information in accordance with the relevant laws and regulations;
3. any affiliate of the Exchange;
4. any other person or body to which the Exchange is legally required to disclose the information in accordance with the relevant laws and regulations;
5. any other person or body to which the Exchange has agreed to provide to them the information in connection with the activities of the relevant Derivatives Exchange Member which are subject to these Rules, including (but not limited to) any information technology providers or other outsourced service providers to the Exchange;
6. any data repository or similar body; and
7. any securities depository or securities settlement system.
Persons seeking to access the Derivatives Trading System must first become Derivatives Exchange Members.