[English Translation]

MARKET-MAKING REGULATIONS FORFX DAILY FUTURES TRANSACTIONSTOKYO FINANCIAL EXCHANGE INC.

(This is an English translation of the Market-Making Regulations for FX Daily Futures
Transactions, which original has been prepared in the Japanese language only. The
Japanese language text hereof shall govern for all purposes and in all respects.
Accordingly, all questions that may arise within or without courts of law in regard to themeaning of the words, provisions and stipulations of these Regulations shall be decided inaccordance with the Japanese language text. Tokyo Financial Exchange Inc. (“TFX”)
assumes no responsibility for accuracy, correctness, or contents of this English text.)

Market-Making Regulations for FX Daily Futures Transactions

Table of ContentsPageArticle 1.

Purpose ....................................................................................................................... 1

Article 2.

Definitions .................................................................................................................. 1

Article 3.

Designation of FX Market Maker .............................................................................. 1

Article 4.

FX Daily Futures Transaction Requiring Submission of MM BIds and Offeres....... 1

Article 5.

Designated Market-making Period............................................................................. 2

Article 6.

Compliance Rules for Submission of MM Bids and Offers ...................................... 2

Article 7.

Period for Presentation of Referential Swap Points................................................... 2

Article 8.

Questioning on MM Bids and Offers, etc. ................................................................. 3

Article 9.

Revocation of FX Market Maker, etc......................................................................... 3

Article 10.

Resignation of FX Market Maker .............................................................................. 3

Article 11.

Regulation of designed FX Market Maker................................................................. 4

Article 12.

Notice of Amendment to Regulations ........................................................................ 4

Article 13.

Decision and Notice of Necessary Matters ................................................................ 4Article 14.

Notification of FX Market-Making Operator ............................................................ 4Article 15.

Notification of FX Operating ID for FX Market-Making .......................................... 5SUPPLEMENTARY PROVISIONS .................................................................................................. 5

FX Market-Making Regulations
Table of Contents

1Article 1.

Purpose

These Regulations set forth the matters that the Exchange considers necessary tostipulate in connection with the duties to be executed by FX Market Makers to fulfill their
obligations assumed as an FX Market Maker (hereinafter called “FX Market-Making”) andother relevant matters, pursuant to Chapter IV of the Special Provisions for Trading
Regulations for FX Daily Futures Transactions (hereinafter called the “FX Special
Provisions”).
Article 2.

Definitions

Unless otherwise set forth herein, the terms used herein shall have the meanings
as defined in the Articles of Incorporation, the Trading Regulations and the FX Special
Provisions.
Article 3.

Designation of FX Market Maker

3.1
When the Exchange seeks applications for designation as FX Market Maker
pursuant to Article 10 of the FX Special Provisions, an application period shall be specified
and the procedure for applications and designation shall be implemented.
3.2
An FX Daily Futures Trading Member or a person applying for FX Daily Futures
Trading Membership who desires to be designated as FX Market Maker (hereinafter called
an “applicant”) shall, within the application period set forth in Article 3.1 above, submit tothe Exchange “Application for Designation as FX Market Maker” in the form prescribedby the Exchange.
3.3
When the Exchange conducts a screening for designating FX Market Makers, theapplicants shall be screened by taking into comprehensive consideration their trading
experiences, etc. on the Exchange, any other domestic or foreign financial instruments
exchange, etc. to which it belongs, and financial markets and others, their status ofsystems, back-office operations and support scheme necessary for performing obligations
to be fulfilled as an FX Market Maker during the designated market-making period to beprescribed by the Exchange, and other relevant matters.
3.4
When the Exchange designates an FX Market Maker, the Exchange shall specify
the date and time from which the term for such designation will take effect andcommunicate it to the FX Market Maker in writing.
Article 4.

FX Daily Futures Transaction Requiring Submission of MM Bids andOffers

4.1
The person who is designated FX Market Maker in accordance with Article 3
above shall submit an MM bid or offer for every FX Daily Futures transaction.

FX Market Making Regulations
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4.2
Notwithstanding Article 4.1 above, if the Exchange finds that there is a truly
unavoidable reason for the person who is designated FX Market Maker to do so, theExchange may exempt such person from FX Market-Making for a certain type of FX Daily
Futures transactions.
Article 5.

Designated Market-making Period

The designated market-making period designated by the Exchange separately as
specified in Article 11.1 of the FX Special Provisions shall be a period commencing at theopening of the pre-open period and ending at the close of the Market Trading Period set
forth in Article 5.1(1) or Article 5.1(2) of the FX Special Provisions respectively for eachtype of the FX Daily Futures transactions.
Article 6.

Compliance Rules for Submission of MM Bids and Offers

In submitting any MM bid or offer pursuant to Article 11.1 of the FX Special
Provisions, an FX Market Maker shall comply with the following rules.
(1)

The price difference between an MM offer and an MM bid to besubmitted shall be within a range that the Exchange will determine as
being equitable.

(2)

Each MM bid or offer to be submitted shall be in a volume that theExchange will determine as being equitable.

Article 7.

Period for Presentation of Referential Swap Points

7.1
Presentation of the referential swap points with respect to Yen Currency Pairs
transactions pursuant to Article 11.4 of the FX Special Provisions shall be made during theperiod set forth below.
(1)

Monday, Tuesday, Wednesday and Thursday:from 6:30 a.m. to 7:00 a.m. (or from 5:30 a.m. to 6:00 a.m., during thetime when Daylight Saving Time is applied in the State of New York, theUnited States of America) on a calendar day on which the close of a
specific trading day’s Market Trading Period falls(2)

Friday:from 5:30 a.m. to 6:00 a.m. (or from 4:30 a.m. to 5:00 a.m., during thetime when Daylight Saving Time is applied in the State of New York, theFX Market Making Regulations
2United States of America) on a calendar day on which the close of a
specific trading day’s Market Trading Period falls

7.2
Presentation of the referential swap points with respect to Cross Currency Pairs
transactions pursuant to Article 11.4 of the FX Special Provisions shall be made during theperiod set forth below.
(1)

Monday, Tuesday, Wednesday and Thursday:from 6:00 a.m. to 6:30 a.m. (or from 5:00 a.m. to 5:30 a.m., during thetime when Daylight Saving Time is applied in the State of New York, theUnited States of America) on a calendar day on which the close of aspecific trading day’s Market Trading Period falls(2)

Friday:from 5:00 a.m. to 5:30 a.m. (or from 4:00 a.m. to 4:30 a.m., during thetime when Daylight Saving Time is applied in the State of New York, theUnited States of America) on a calendar day on which the close of a
specific trading day’s Market Trading Period falls

7.3
The Exchange may temporarily change the period set forth in Article 7.1 andArticle 7.2 above when the Exchange deems necessary to do so. In this case, theExchange shall give an advance notice to that effect to the FX Market Makers.
Article 8.

Questioning on MM Bids and Offers, etc.

When the Exchange deems necessary to do so for sound operation of FX
Market-Making, the Exchange may question any FX Market Maker about its submission ofMM bids and offers and presentation of referential swap points and the FX Market Maker
shall respond to such questioning.
Article 9.

Revocation of FX Market Maker, etc.

If the Exchange invokes a moratorium on FX Market-Making in whole or in partor revoke designation as FX Market Maker pursuant to Article 13 of the FX Special
Provisions, the Exchange shall specify the time from which the moratorium or revocation
will take effect and give a written notice of the moratorium or revocation to the concerned
FX Market Maker.
Article 10.

Resignation of FX Market Maker

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10.1
If an FX Market Maker resigns pursuant to Article 15 of the FX Special
Provisions, the FX Market Maker shall provide the Exchange with at least six (6) month’sprior written notice specifying the time of resignation which shall not be within twelve (12)months after the start of the term of FX Market Maker.
10.2
Notwithstanding the provisions of Article 10.1 above, if it becomes difficult for an
FX Market Maker to continue FX Market-Making due to any reason that the Exchange will
determine as being truly unavoidable, the FX Market Maker shall be allowed to resign as
FX Market Maker.
Article 11.

Resignation of designated FX Market Maker

Article 10 above shall apply mutatis mutandis to the resignation of designated FXMarket Maker pursuant to Article 17-2.2 of the FX Special Provisions. In such case, theterm “FX Market-Making” referred to in Article 10.2 above shall be replaced with the“business as designated FX Market Maker”.
Article 12.

Notice of Amendment to Regulations

If the Exchange amends these Regulations, the Exchange shall give an advancenotice to that effect to FX Market Makers.
Article 13.

Decision and Notice of Necessary Matters

13.1
In addition to the provisions of these Regulations, the Exchange may prescribe
detailed rules or take proper steps for any necessary matters.
13.2If any detailed rules are prescribed or any steps are taken pursuant to Article 13.1
above, the Exchange shall notify FX Market Makers without delay.
Article 14.

Notification of FX Market-Making Operator

14.1
In order to receive any request set forth in Article 14.3 below or any other noticefrom the Exchange, an FX Market Maker shall authorize its FX Officer to appoint anddismiss one ore more liaison officer(s) representing the FX Market Maker to be selectedfrom its employees resident in the workplace where its Member’s terminal device isinstalled (hereinafter called “FX Market-Making Operator(s)”).
14.2
If an FX Market-Making Operator is appointed or replaced pursuant to Article
14.1 above, the FX Market Maker or its FX Officer shall notify the Exchange in advance inthe prescribed form.
14.3
If the Exchange intends to request submission of a bid and offer or give any othernotice to an FX Market Maker in accordance with these Regulations or any detailed rules
or steps as set forth in Article 14.2 above, the Exchange shall be deemed to have madeFX Market Making Regulations
4such request or notice when the Exchange has notified any of the FX Market Maker’s FX
Officers and FX Market-Making Operators.
Article 15.

Notification of FX Operating ID for FX Market-Making

For its FX Market-Making, an FX Market Maker shall use the FX Operating ID tobe specified by the Exchange.

SUPPLEMENTARY PROVISIONS
The amended Regulations shall take effect as from October 27, 2008.

FX Market Making Regulations
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