Questions Flashcards
(89 cards)
1
Q
Exchange Management may verify at any time whether the business activities of an exchange participant
comply with the EEX Exchange Rules.
A
True
2
Q
The admission requirements of EEX are regulated in the Exchange Rules and linked to the Admission Rules and
Regulations.
A
True
3
Q
The general rules for trade purchases are set out in the Exchange Rules.
True False
A
False
4
Q
According to the Exchange Rules, the tasks of the Exchange Management include the regulation of the
organisation and business operations of the Exchange.
A
True
5
Q
According to the Exchange Rules, the Exchange Council is responsible for surveillance of the daily business
of EEX
A
False
6
Q
The Saxon Ministry of Economic Affairs, Labour and Transport is responsible for supervising EEX’s
operations
A
True
7
Q
The conditions for recording trade registration trades are specified in the Trading Conditions.
True False
A
False
8
Q
Details of when a market area manager or transmission system operator may order the reduction of schedules are
described in the clearing conditions.
A
True
9
Q
The Code of Conduct defines the rules of conduct for participation in the Exchange Trader Examination
A
False
10
Q
Which bodies monitor that prices determined by EEX conform to the rules? A. Exchange Supervisory Authority B. Exchange Council C. Market Surveillance D. Exchange Management
A
C D
11
Q
For what reason(s) is Exchange Management allowed to take all necessary measures?
A. To get lower prices in the market
B. To get higher prices in the market
C. For the correct execution of trading
D. For the correct handling of the exchange transactions
A
C|D
12
Q
What is the purpose of the electronic trading systems used by EEX?
A. Conclusion of forwards and swaps contracts
B. Conclusion of non-standardised derivatives
C. Conclusion of standardised spot and derivative (futures/options) transactions
D. Registration of trade registration trades
A
C|D
13
Q
Which of the following exchange bodies are authorised to request information from and documents submitted by
exchange participants of EEX, as well as to carry out audits?
A. Market Surveillance
B. Exchange Management
C. Supervisory Board
D. Exchange Council
A
A B
14
Q
According to the Exchange Rules, which of the following prices are published by EEX? A. Bid prices B. Daily settlement prices C. Prices of the last completed trades D. Ask prices
A
A|B|C|D
15
Q
Who becomes the counterparty of an exchange participant in a trade in the Emissions spot market? A. EEX B. Clearing Member C. ECC AG D. ECC Lux S.a.r.l
A
C
16
Q
Who becomes the counterparty of an exchange participant in a trade on the gas spot market? A. EEX B. Clearing Member C. ECC AG D. ECC Lux S.a.r.l
A
D
17
Q
Who becomes the counterparty of an exchange participant in a derivatives market trade? A. EEX B. Clearing Member C. ECC AG D. ECC Lux S.a.r.l
A
B
18
Q
Prior to entering a cross trade into the trading system, it is always necessary to complete a cross trade request
A
F
19
Q
The rules of the Exchange Trader Examination are described in the Admission Regulations
A
T
20
Q
Traders are allowed to hand over their trading login to other traders to enable them to trade
A
F
21
Q
The trading days, trading hours, business hours and settlement days are specified in the Trading Conditions
A
T
22
Q
The Exchange Management Board are permitted to cancel trades or orders
A
T
23
Q
A quote is the technical possibility to generate a limited buy and a limited sell order in one contract at the same
time with one entry.
A
T
24
Q
In the pre-opening phase (call phase) of the spot market trading system for emissions rights, and the derivatives
market trading system, the preliminary (indicative) opening price is displayed, if executable orders face each other
A
T
25
Creating a cross trade is prohibited according to the trading conditions
F
26
In a spread order, it may happen that more contracts are bought than sold
F
27
```
What is the name of the order type where initially only a fixed part of the contract volume is entered into the order
book?
A. Limit order
B. Market order
C. Iceberg order
D. Stop order
```
C
28
Who can participate in the trading on behalf procedure?
A. Every admitted exchange trader
B. Only the head trader of an exchange participant, once registered
C. Only the head trader of a General Clearing Member, once registered
D. Market makers only
A
29
```
What is the term used for a transaction that is discussed off the order book and subsequently submitted
to the Exchange for registration?
A. Give up trade
B. Cross trade
C. Trade registration trade
D. Take up trade
```
C
30
```
Which validity restriction does a trading system have?
A. IOC (immediate or cancel)
B. GTC (good till cancelled)
C. GFD (good for day)
D. GTD (good till date)
```
B|C|D
31
What type of order is only delivered into the order book of the trading system after a certain activation
price limit is reached?
A. Market order
B. Stop order
C. Spread order
D. Order with the IOC (immediate or cancel) restriction
B
32
Prices of trade registration trades are displayed in the order book of the trading system
False
33
An exchange trader can submit a mistrade request electronically in the trading system
False
34
hen entering orders in the spot market trading system for emissions rights and the derivatives market
trading system, additional validity regulations can be entered in the fields Text 1 - Text 3.
F
35
Quotes can be set as persistent orders.
False
36
Which statement about trade registration trades (TR trades) is true?
A. TR trades may only be executed in the agent account (A1)
B. A give up cannot be done for TR trades
C. Margin requirements do not apply for TR trades
D. TR trades are entered in a separate screen outside of the order book
D
37
In which menu of the spot market trading system for emissions rights and the derivatives market trading
system can the overview of all available functions/submenus/windows be found?
A. Login menu
B. Welcome view
C. Tab card ”configuration”
D. Help function
B
38
Which of the following functions is available when entering an order in the spot market trading system for
emissions rights and in the futures market trading system?
A. Selection of trading account
B. Selection of open/close mark
C. Selection of validity and execution restrictions
D. The mistrade button in order to automatically activate mistrades
A|B|C
39
```
With which trading phase does trading in the trading system usually resume after a trade suspension?
A. Pre-trading phase
B. Pre-opening phase
C. Trading phase
D. Post-trading phase
```
A
40
```
Which orders will be deleted from the order book in the event of a trading interruption?
A. Persistent orders
B. Non-persistent orders
C. No orders will be deleted
D. All orders will be deleted
```
B
41
Unit price auctions for emissions rights take place at 11:00 a.m. and 3:00 p.m.
T
42
Continuous trading starts at 8.00 a.m. but for agricultural futures market products at either 8:55 or 10:00 a.m
T
43
Trading in spot market gas within-day contracts starts at 6:00 a.m.
False
44
Trading in spot market gas day-ahead contracts starts at 3:00 a.m
True
45
It is possible to enter market orders for options.
True
46
. It is possible to enter stop orders for options
False
47
In a time spread order, spot and futures contracts are combined in one order
False
48
Orders with the good-till-date (GTD) validity provision are only valid for one day in the order book and are
automatically deleted after end of trading.
False
49
Changing a market order into a limit order can be done at any time
Tru
50
Which of the following statements regarding an IOC (immediate or cancel) order is correct?
A. Immediate execution of the order, in full or in part
B. Unexecuted parts remain active in the market
C. Unexecuted parts of the order will be deleted immediately
D. This restriction is not allowed for futures
A C
51
Which of the following statements regarding stop orders is correct?
A. Stop orders are always entered with an activation price limit
B. Stop orders are generally executed in full immediately after being entered
C. When the activation price limit is reached, stop orders turn into market orders
D. Stop orders are allowed for spot and futures contracts
A|C|D
52
```
Which of the following fields have to be filled in when entering a single order in continuous trading?
A. Contracts (Qty)
B. Price (Limit)
C. Text 1-3
D. Validity
```
A|B|D
53
Which of the following orders for an option contract could be entered?
A. Buy 10 contracts as a market order
B. Buy 10 contracts as a stop order at 7.000
C. Buy 10 contracts as a limit order at 5.800 IOC
D. Buy 10 contracts as a limit order at 2.800 GTC
A|C|D
54
If an exchange trader enters the value "GFD" in the Validity field when entering an order, which of the following
statements is correct?
A. If the order is not executed, it will be deleted when the end of trading is reached
B. The order remains in the order book until it is deleted, but for no longer than one year
C. If the order is partially executed, the unexecuted part will be deleted immediately
D. The order can be deleted or modified at any time
A|D
55
f a trader erroneously marks an order entry with the closing flag, without having an open position for
the respective contract, which of the following answers is correct?
A. The order is rejected with the note that there are no open positions
B. The order is accepted, however it cannot be executed
C. The order is accepted and might be executed
D. If the order is executed, the usual fee will be charged threefold
C
56
Which function is available for emissions in the auction system?
A. Entering of a sell order for an exchange participant
B. Entering of a buy order
C. Access to all ongoing auctions
D. Access to all finished auctions
B|C|D
57
If there is an opening price for a contract in the opening auction, all market orders in the order book are
executed at this price, without considering the market order matching range (MOMR).
T
58
The spot market trading system for emissions rights and the derivatives market trading system use an automatic
matching algorithm.
T
59
When entering an order, the trader can choose with which matching algorithm
(auction or continuous trading) the order is to be executed.
False
60
The market order matching range (MOMR) should protect incoming and already entered market orders
in the trading system.
True
61
A stop order may be executed at a price which deviates from its defined activation price limit.
T
62
The market order matching range (MOMR) has an influence on the determination of the indicative opening
price in the trading system.
False
63
Increasing the size of an existing order in the trading system will result in a change of its time priority within
the order book.
True
64
Within the single price auction, all executable buy orders are executed at their individual prices.
False
65
The spot market trading system for gas trading uses an automatic matching algorithm
False
66
What is the objective of the Pre-opening phase (call phase) in the spot market trading system for emissions
rights and in the futures market trading system?
A. Opportunity for a very last reaction to the market situation on that day
B. Delay in the start of exchange trading
C. Opportunity for participants to delete orders and quotes
D. Opportunity for an initial reaction to the market situation
C|D
67
```
Which parameter defines the ranking of an order in the order book for continuous trading?
A. Trading account
B. Trader ID
C. Price limit
D. Time of order entry
```
C|D
68
Which of these orders is executed if the following order is entered into this order book? Buy 30 contracts
unlimited. Best bid price is 79.00 and the market order matching range is 10.00.
A. 30 contracts at 90.00 Bid Ask
B. 11 contracts at 83.00 Quantity Limit Limit Quantity
C. 29 contracts at 83.00 5 79.00 80.00 6
D. 1 contract at 90.10 10 78.50 81.00 3
81.50 9
83.00 11
90.10 1
B
69
Which of the following orders could be entered if the last traded price was 6.50?
A. Buy 10 contracts as a market order
B. Buy 10 contracts as a stop order at 10.50
C. Sell 10 contracts as a stop order at 5.00
D. Sell 10 contracts as a limit order GTC at 10.00
A|B|C|D
70
Which of these orders is executed if the following order is entered into this order book?
Sell 7 contracts unlimited. The market order matching range (MOMR) is 5.00.
A. 7 contracts at 11.000
B. 7 contracts at 10.500
C. 7 contracts at 10.000
D. No execution, because there is no limit sell
order in the order book.
D
71
The entry of which order will trigger the following stop order in this order book?
Sell 20 with an activation price limit of 6.00. The last price in the contract was 10.00.
A. Buy 10 contracts at 8.00
B. Buy 10 contracts at 7.00
C. Sell 5 contracts at 6.00
D. Sell 5 contracts at 7.00
A|B
72
In which way are spread orders with the restriction IOC (immediate or cancel) executed in the
trading system?
A. Execution of both sides of the order in the same scope
B. Execution at the specified spread price or better
C. Deletion of the unexecuted quantity
D. Execution of both sides of the orders at the same time
A|B|C|D
73
Users of the trading on behalf procedure must identify themselves using individual trader-related data before
transactions are recorded in the trading systems.
T
74
Mistrades in the spot market trading system for emissions rights and in the futures market trading system are
cancelled by entering an opposite trade.
T
75
Recalls in the spot market trading system for gas are cancelled by deleting the trade
T
76
Requests for cancellation of trades in the gas spot market (Recalls) must be made to the Market Operations team
within 60 minutes.
F
77
An application for the cancellation of a trade (mistrade) has to be made to the Market Operations team
within 5 minutes, or within 30 minutes for agricultural futures
T
78
If the warning "Non-Standard Price Validation Failed, Reference price, Price range" appears during order
entry due to a non-market price, the order cannot be entered.
F
79
In the event of technical problems, an Exchange Participant may continue to participate in electronic trading via the
trading on behalf procedure.
T
80
A mistrade can be requested for a trade registration trade.
F
81
Today's quotes from market makers are not deleted from the order book at the end of the trading day and are
back in the order book the next morning.
F
82
By what time does a TR trade have to be confirmed by the counterparty in the trading systems?
A. By the end of trading
B. By 2.00 am
C. Within 5 minutes of the transaction being entered by the buyer
D. No time limit is given
A
83
What is the consequence of a product being set to fast market?
A. Deletion of all existing orders for this product
B. Trade suspension for this product for 5 minutes
C. Announcement via market message
D. Increase of the spread required to be kept by the market maker
C|D
84
Which of the following statements regarding the trading on behalf procedure is correct?
A. Orders are placed by telephone with the Market Operations team
B. All orders are subsequently confirmed via email
C. All orders in the trading on behalf procedure are cleared bilaterally
D. All orders are entered into the trading systems for transmission to the clearing house
A|B|D
85
```
Who should be contacted immediately if a trader caused a mistrade?
A. Sanctions Committee
B. Exchange Supervisory Authority
C. Market Operations team
D. Exchange Council
```
C
86
```
Which of the following transactions can be executed using the trading on behalf procedure?
A. Exercise of options
B. Deletion of orders
C. Entry of quotes
D. Entry of market orders
```
A|B|D
87
Which conditions must be met in the spot market for emissions rights and in the futures market in order to classify a
trade as a mistrade that could be cancelled?
A. The trade price has to be out of mistrade range
B. Application for cancellation of the trade by the exchange participant within 5 or 30 minutes
C. Entry as a trade registration trade
D. Price of the trade has to lie within the mistrade range
A|B
88
Which of the following prices, entered by mistake, could be considered as a mistrade, given a
reference price of 4.00 and a mistrade range of 0.20?
A. 4.10
B. 3.90
C. 5.00
D. 3.10
C|D
89
Where is it written, what a high enough discrepancy between the traded price and the reference price is, to constitute a
mistrade?
A. Exchange rules
B. Mistrade rules (implementation regulation for § 10 of the trading conditions)
C. Emergency procedures
D. Contract specifications
B
