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Creating a New Option Trade Request
Overview
Before a user can create a new trading request, they must create a new trading account and get it approved by a Compliance Officer. A trading request is a request to trade with a financial institution.
Related Information/Setup
Please see the Creating a New Trading Account article for more information on creating a new trading account.
Navigation
- From the Home screen, click the Home dropdown menu.
Home Menu
- Click the Employee Portal link.
Employee Portal Link
- From the Personal Trading screen, click the + New Trading Request button.
+ New Trading Request Button
Creating a New Option Trade Request
- From the New Trade Request screen, select Option from the Security Type dropdown menu.
- Option: An option allows buying or selling an asset for a specific price on a particular date.
Security Type Dropdown Menu
- Click the Next button.
Next Button
- From the Personal Trade screen, click the Add Existing Brokerage Account link.
Add Existing Brokerage Account Link
- From the Add Existing Brokerage Account pop-up, click on the + Add link next to a brokerage account to add it to the Brokerage Account field on the Personal Trade screen.
+ Add link
- (Optional) Enter a keyword in the Search field if you cannot find the brokerage firm you are looking for on the most recently created list.
- From the Personal Trade screen, fill out the following information under the Option Transaction Details section.
- Enter the security's Symbol in the Symbol field according to the value in the Symbol Type field. A symbol is a 21-character code, representing a security within the selected exchange marketplace. The first 6-characters represent the underlying stock; spaces follow characters if the stock does not contain 6-characters; the next 6-characters are the expiration date (yymmdd), the next character is a P = put of C = call, the last 8-characters are the price of the stock (e.g., SPF 240122P00019500).
Symbol Field
- Enter the Underlying Instrument Symbol in the Underlying Instrument Symbol field. The Underlying Instrument Symbol represents a security within an exchange marketplace.
Underlying Instrument Symbol Field
- Select a Symbol Type from the Symbol Type dropdown menu:
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- Bloomberg ID: The Bloomberg ID (BBGID) is a 12-character alphanumeric code representing active and non-active securities.
- CUSIP: The CUSIP (Committee on Uniform Securities Identification Procedures) number is a 9-character alphanumeric code that represents security (stock at the exchange level) and is tracked using a ticker.
- ISIN: The ISIN (International Securities Identification Number) is a 12-character alphanumeric code representing a security.
- SEDOL: The SEDOL (Stock Exchange Daily Official List) is a 7-character code. The first 6-characters are alphanumeric, and the 7th is a trailing check digit. The SEDOL is used to identify securities on the London Stock Exchange.
- RIC: The RIC (Refinitiv Identification Code) identifies financial instruments on financial information networks (e.g., Refinitiv Real Time)
- Other
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Symbol Type
- Select whether the exchange is over the counter from the Is this OTC (Over the Counter) field. Indicates if the bond was an over-the-counter bond exchanged between two parties without using an exchange or broker. If Yes is selected, the user must include the counterparty's name in the Name of OTC Counterparty field.
Is this OTC (Over the Counter) Field
- Select a Type of Trade by clicking the Type of Trade radio button.
- Put: The asset holder can sell shares of the asset if they think its price will decrease.
- Call: the asset holder can purchase the asset if they think its price will increase .
Action Field
- Select a Currency Code from the Currency dropdown menu. The currency code represents the currency the user is trading in.
Currency Dropdown Menu
- Enter the Quantity of the security the user is trading in the Quantity field.
Quantity Field
- Enter the price of the put or call option contract in the Total Premium field.
Total Premium Field
- Enter the asset's Strike Price in the Strike Price field. The strike price is the purchase or sale price of the asset on the option contract, which can be below or above the total premium price.
Strike Price Field
- Select the option contract's expiration date from the Calendar pop-up on the Expiration Date field by clicking a Date.
Expiration Date Field
- Select an option to the question Do you have material non-public information about this trade? If the user selects Yes, they will have to include further details.
- Select an option to the question Could the proposed trade represent or create a conflict of interest? If the user selects Yes, they will have to include further details.
Question Fields
- Enter a keyword in the Employee field and select your name from the dropdown menu. Entering your name indicates you acknowledge all policies and laws pertaining to this action.
Employee Field
- Click the Submit button to send the request to a Compliance Officer.
Submit Button
- The Compliance Officer will receive an email notification indicating a request requires action.
Email Notification
- Click the Cancel button to cancel the request and return to the previous screen. Compliance Officers will not see a cancelled request.