INMA S2.2 Confirmation notes — additional information for derivatives

A confirmation note relating to a transaction in derivatives for a customer must also include the following information:

(a) the maturity, delivery or expiry date of the derivative;
(b) for an option — the last exercise date, whether it can be exercised before maturity and the strike price;
(c) whether the exercise creates a sale or purchase in the underlying asset;
(d) if the transaction closes out an open futures position — all essential details required in relation to each contract included in the open position and each contract by which it was closed out, and the profit or loss to the customer from closing out that position;
(e) on the exercise of an option:
(i) the date of exercise, and either the time of exercise or that the customer will be notified of the time on request; and
(ii) the strike price of the option and, if applicable, the total consideration from or to the customer.
Note For a currency option, the rate of exchange will be the same as the strike price.
Inserted by QFCRA RM/2019-4 (as from 1st January 2020).