SUBMISSION COVER SHEET

IMPORTANT: Check box if Confidential Treatment is requested

Registered Entity Identifier Code (optional): 23-495

Organization: Chicago Mercantile Exchange Inc. (“CME”)

Filing as a: DCM SEF DCO SDR 

Please note - only ONE choice allowed.

Filing Date (mm/dd/yy): December 15, 2023 Filing Description: Extension of the CME 

Livestock Volume Incentive Program

SPECIFY FILING TYPE 

Please note only ONE choice allowed per Submission.

Organization Rules and Rule Amendments

Certification § 40.6(a)

Approval § 40.5(a)

Notification § 40.6(d)

Advance Notice of SIDCO Rule Change § 40.10(a)

SIDCO Emergency Rule Change § 40.10(h)

Rule Numbers: Not Applicable

New Product Please note only ONE product per Submission.

Certification § 40.2(a) 

Certification Security Futures § 41.23(a)

Certification Swap Class § 40.2(d)

Approval § 40.3(a)

Approval Security Futures § 41.23(b)

Novel Derivative Product Notification § 40.12(a)

Swap Submission § 39.5

Official Product Name: 

Product Terms and Conditions (product related Rules and Rule Amendments)

Certification § 40.6(a) 

Certification Made Available to Trade Determination § 40.6(a)

Certification Security Futures § 41.24(a)

Delisting (No Open Interest) § 40.6(a) 

Approval § 40.5(a)

Approval Made Available to Trade Determination § 40.5(a)

Approval Security Futures § 41.24(c)

Approval Amendments to enumerated agricultural products § 40.4(a), § 40.5(a)

“Non-Material Agricultural Rule Change” § 40.4(b)(5)

Notification § 40.6(d)

Official Name(s) of Product(s) Affected: 

Rule Numbers: 
20 S Wacker Dr Chicago, IL 60606 T 312 466 7478 tim.elliott@cmegroup.com cmegroup.com

Timothy Elliott

Managing Director and Chief Regulatory Counsel

Legal Department

December 15, 2023

VIA ELECTRONIC PORTAL

Christopher J. Kirkpatrick 

Office of the Secretariat

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

RE: Extension of the CME Livestock Volume Incentive Program

CME Submission No. 23-495

Dear Mr. Kirkpatrick:

Chicago Mercantile Exchange Inc. (“CME” or “Exchange”) hereby notifies the Commodity Futures Trading 

Commission (“CFTC” or “Commission”) of plans to extend the Livestock Volume Incentive Program (“Program”)

through January 31, 2025. The extension of the Program will become effective on February 1, 2024. All other 

Program terms remain unchanged.

Exhibit 1 sets forth the terms of this Program. Modifications appear below, with additions underlined and deletions 

overstruck. 

CME reviewed the designated contract market core principles (“Core Principles”) as set forth in the Commodity

Exchange Act (“CEA”). During the review, CME staff identified the following Core Principles as potentially being 

impacted: Monitoring of Trading, Execution of Transactions, Protection of Market Participants, Compliance with

Rules, Availability of General Information, and Recordkeeping

The Program does not impact the Exchange’s ability to perform its trade practice and market surveillance obligations 

under the CEA. Exchange staff will monitor trading in the Program’s products in order to prevent manipulative trading 

and market abuse. Additionally, the Exchange has implemented systems to track Program participants’ volume to 

ensure proper distribution of earned incentives. The Program does not impact the Exchange’s order execution. 

Participants in the Program will be selected by CME staff using criteria as set forth in Exhibit 1. Chapter 4 of the 

Exchange rules includes prohibitions against fraudulent, non-competitive, unfair or abusive practices. All participants 

agree to comply with, and be subject to, applicable regulations and Exchange rules. Additionally, the Program is 

subject to the Exchange’s record retention policies, which comply with the CEA.

CME certifies that the Program complies with the CEA and the regulations thereunder. There were no substantive 

opposing views to this Program.

The Exchange certifies that this submission has been concurrently posted on the Exchange’s website at 

http://www.cmegroup.com/market-regulation/rule-filings.html. 

If you require any additional information regarding this submission, please e-mail 

CMEGSubmissionInquiry@cmegroup.com or contact Rachel Johnson at 312-466-4393 or via e-mail at 

Rachel.Johnson@cmegroup.com. Please reference our CME Submission No. 23-495 in any related correspondence.

Sincerely,

/s/ Timothy Elliott

Managing Director and Chief Regulatory Counsel 

Enclosure: Exhibit 1
EXHIBIT 1

CME Livestock Volume Incentive Program

Program Purpose

The purpose of this Program is to incentivize participants to increase liquidity in the futures products listed 

below. More liquid contracts on the central limit order book benefit all participants in the marketplace.

Product Scope

Live Cattle Futures (“LE”), Lean Hog Futures (“HE”), Feeder Cattle Futures (“GF”), and Pork Cutout 

Futures (“PRK”) traded on the CME Globex Platform (“Products”).

Eligible Participants

There is no limit to the number of participants that may participate in the Program. This Program is open 

to individual members, member firms who are clearing members, Rule 106.J. equity members, Rule 

106.I. member firms, Rule 106.S. member approved funds, and Rule 106.D. lessees. 

Program Term 

Start date is February 1, 2020. End date is January 31, 2024 January 31, 2025.

Hours

N/A

Obligations

Participants must meet certain volume thresholds, as determined by the Exchange, in order to receive the 

incentives.

Incentives

Fee Discounts: Upon meeting all eligibility requirements and obligations, as determined by the Exchange, 

each participant is eligible to receive tiered fee discounts in accordance with the following:

Member Firms*

Tier Monthly Average Daily Volume 

(“ADV”) Thresholds Fee Discount

0 – 1,000 N/A

1 1,001 – 2,500 $0.16

2 2,501 – 7,500 $0.21

3 7,501 + $0.26
*Accumulation is aggregated by account owner(s) across accounts within a single billing firm. Clearing 

members and their related Rule 106.I. member(s) will be treated as one (1) firm. Rule 106.S. member 

approved funds will be aggregated with their related Rule 106.J. equity member. 

Individual Members**

Tier Monthly ADV Thresholds Fee Discount

0 – 500 N/A

1 501 – 1,000 $0.16

2 1,001 – 1,500 $0.21

3 1,501 + $0.26

**Accumulation is per trading account under a single billing firm. 

Monitoring and Termination of Status

The Exchange shall monitor trading activity and participants’ performance and shall retain the right to 

revoke participant status if it concludes from review that a participant has failed to meet the requirements 

of the Program.