Q: What is an All-or-None Order?

A: An All-or-None order allows a trader to buy or sell a specified number of contracts at a single price. The number of contracts must meet or exceed a predetermined threshold level, and these orders must be executed during pit trading sessions.

Q: What futures contracts are permitted under the All-or-None rule and what is the minimum threshold level?

A: Initially, All-or-None orders will be permitted for pit trading in 2-year Treasury note futures, Municipal bond index futures, and 10-year agency note futures, and only for quantities of at least 100 contracts.

The Board of Directors may authorize All-or-None orders in additional commodities and determine the minimum size threshold for All-or-None orders for each such commodity.

Q: How does one initiate an All-or-None bid or offer in the pit?

A: A member may request an All-or-None bid or offer by saying, for example: "All-or-None, what's here on 100?" The request should be made during regular open-outcry trading hours in the appropriate futures pits.

Q: What are the major differences between All-or-None trades and other futures trades?

A: A member may respond by quoting an All-or-None bid or offer for the total amount offered or bid. No partial fills are permitted. For example, an All-or-None 30 bid for 200 contracts cannot be executed against an All-or-None 30 offer for 150 contracts.

The price at which an All-or-None trade is bid, offered, or executed will not elect conditional orders (e.g., limit orders, stop orders, etc.) in the regular market or otherwise affect such orders. All-or-None trades can be executed away from the current bid or offer in the pit as long as they are executed within the daily price limits.

All-or-None trades must be reported to the reporter in each pit who shall record the price quotes under the appropriate All-or-None ticker symbol. Separate time and sales records will be maintained for All-or-None transactions.

Q: Can All-or-None orders be crossed?

A: Yes. The crossing of All-or-None orders will be permitted only after such orders (e.g., simultaneous buy and sell orders for different account owners) have first been bid and offered competitively in the pit, and neither the bid nor offer is accepted within a reasonable time. All crossing transactions must be executed in the presence of a member of the pit committee, and the required documentation must be completed.

Q: Can a broker allocate an All-or-None trade to multiple brokers or locals when there is more than one response to the All-or-None request?

A: No

Q: What are the ticker symbols for All-or-None contracts?
A:
2-year Treasury Note futures: QW
Municipal Bond futures: QQ
10-year Agency Note futures: VN

Q: Where can I find more information about the All-or-None provisions?

A: You can visit our web site at www.cbot.com or call a product manager in the Market and Product Development Department at 312-341-7955.