Via Portal Submission

September 15, 2022

 MGEX Submission No. 22-38

Mr. Christopher J. Kirkpatrick

Secretary of the Commission

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street NW

Washington, DC 20581

RE: CFTC Regulation 40.6(a) Certification: Delisting of BRIXX Products

Dear Mr. Kirkpatrick:

Pursuant to Commodity Exchange Act Section 5c and Commodity Futures Trading Commission Regulation 

40.6(a), the Minneapolis Grain Exchange, LLC (“MGEX”) hereby certifies the delisting of BRIXX Retail Index 

Futures, BRIXX Office Index Futures, BRIXX Residential Index Futures, and BRIXX Hospitality Index Futures

(collectively, the “BRIXX Products”). There is no open interest for the BRIXX Products. In conjunction with 

the delisting, the BRIXX Products rules will be stricken and removed from the MGEX Rulebook. See 

Attachment A. 

MGEX reviewed the Core Principles for designated contract markets (“DCM Core Principles”) and identified 

that delisting the BRIXX Products may impact the following DCM Core Principles:

• DCM Core Principle 6, Emergency Authority: Because there was no open interest in the BRIXX

Products, there will not be any resulting market disruption.

• DCM Core Principle 7, Availability of General Information: The Exchange has publicly made available 

a memo detailing the delisting of the BRIXX Products, which is located on the MGEX website at

http://www.mgex.com.

Pursuant to MGEX Bylaw 2.4., the Exchange has the authority to suspend trading and delist the BRIXX 

Products. There were no substantive opposing views expressed, nor is the Exchange aware of any 

substantive opposing views with respect to this filing.

The delisting of the BRIXX Products is effective after the close of trading on September 16, 2022. Removal 

of the BRIXX Products rules from the Rulebook will become effective as soon as practical. MGEX certifies 

that the delisting of BRIXX Products complies with the CEAct and CFTC Regulations promulgated thereunder. 

MGEX further certifies that this submission has been posted on the MGEX website at the following link: 

http://www.mgex.com/regulation.html. 
If there are any questions regarding this submission, please contact me at (612) 321-7140 or 

asmith@mgex.com. 

Sincerely, 

Alex Smith

Assistant Corporate Counsel
Attachment A

CHAPTER 86

BRIXX RETAIL INDEX

FUTURES

86.1. AUTHORITY.

Trading in BRIXXTM Retail Index (the “BRIXX Retail Index”) Futures may be conducted 

under such terms and conditions as the Board of Directors and/or the Exchange will 

determine, subjectto the CEA and CFTC regulations promulgated thereunder.

86.2. SCOPE OF CHAPTER.

This Chapter is limited in its application to Futures trading on the BRIXX Retail Index. 

Electronic trading, clearing, daily settlement, delivery of cash settlement, and any other

matters not specifically covered in this Chapter will be governed by the MGEX Rules, or 

otherwise delegatedto the Exchange to establish policies and procedures that implement 

the MGEX Rules. In the event the provisions of this Chapter conflict with any other MGEX 

Rules, those listed within this Chapter and as applicable to Futures Contracts on the BRIXX

Retail Index supersede such MGEXRules outside of this Chapter.

86.3. BRIXX RETAIL INDEX: DEFINITION.

The BRIXX Retail Index generally consists of 15 (but not less than 10) publicly traded real

estateinvestment trusts / equity companies that are listed on a U.S. Securities Exchange. 

The BRIXX Retail Index seeks to measure the price per square foot of retail space value.

86.4. BRIXX RETAIL INDEX: COMPONENT CHANGES.

The composition of the BRIXX Retail Index is determined at the time of its reconstitution, 

which occurs on the Wednesday before the third Friday of each quarter-end month (March,

June, September, and December). In the event such Wednesday is a holiday, the 

reconstitution will be moved one day prior to Tuesday. The reconstitution will be effective

after the close on the Friday following the reconstitution. If that Friday is a holiday, the 

reconstitution will be effective after the close on the preceding Business Day. No changes 

shall be made to the BRIXX Retail Index components except at the quarterly reconstitution 

unless a component entity closes a merger transaction, files for bankruptcy, or is delisted 

from its principal exchange (each, a “Corporate Action”). If a Corporate Action takes place 

prior to the quarterly reconstitution, the affected component shall be replaced with a new 

eligible component prior to the next trading day. In the event there are no eligible

components, the weighting of the removed component will beproportionally redistributed 

over the remaining index components. A third party shall monitor andmake all BRIXX Retail

Index reconstitutions.

The component weights of the BRIXX Retail Index are adjusted and reset on a monthly 

basis after the close of business on the third Friday of each month. In the event the third 

Friday of the month is a holiday, the reset will be moved one day prior to Thursday. The 

newly calculated component weights for the BRIXX Retail Index will be effective on the first

Business Day followingthe reset. This monthly reset adjusts the weights of the BRIXX Retail 

Index components, but no changes, additions, or deletions are made to the individual 
components.

Should an index reconstitution result in the BRIXX Retail Index becoming a narrow-based

securityindex as defined in section 1a(35) of the CEA, the Exchange would follow applicable 

CFTC regulations governing the transition period for trading purposes.

86.5. CONTRACT TRADING UNIT.

The unit of trading will be the value of BRIXX Retail Index Futures Contracts multiplied by 

one hundred U.S. dollars ($100.00).

86.6. MINIMUM PRICE INCREMENT.

Except as provided in this Rule, the minimum price increment in BRIXX Retail Index Futures

Contracts will be 0.10 index points, which has a value of $10.00. All prices are quoted in 

U.S. dollars.

86.7. TRADING MONTHS.

The months available for trading in BRIXX Retail Index Futures Contracts and the number 

of months available for trade at one time will be determined by the Exchange.

86.8. TRADING DAYS AND HOURS.

A trading day is a Business Day on which trading of BRIXX Retail Index Futures Contracts 

is permitted. Trading days are determined by the Exchange. The Hours of Trading for BRIXX

Retail Index Futures Contracts will constitute a single trading session for a Business Day.

Unless otherwise specified by the Exchange in relation to Exchange holidays, the Hours of

Trading for BRIXX Retail Index Futures Contracts will be 8:30 a.m. – 3:00 p.m. Monday –

Friday Central Time.

86.9. LAST TRADING DAY.

The last trading day ends at 3:00 p.m. Central Time for BRIXX Retail Index Futures

Contracts onthe trading day immediately before the final settlement date, generally the 

Thursday preceding the third Friday of a calendar month. Should the last trading day be a

holiday, the last trading daywill be moved one day prior to Wednesday.

86.10. FINAL SETTLEMENT DATE.

The final settlement date for BRIXX Retail Index Futures Contracts is the third Friday of a

calendarmonth. Should the third Friday of the month be a holiday, the final settlement date 

will be moved one day prior to Thursday, and the last trading day will be moved to

Wednesday.

86.11. CASH SETTLEMENT.

BRIXX Retail Index Futures are cash settled. The final cash settlement price of the expiring

BRIXXRetail Index Futures Contract is determined by the official opening prices of the 

BRIXX Retail Index components as traded on their primary markets. If a component stock 
of the BRIXX Retail Index does not trade, then the price used for the component stock shall 

be the prior trading session’s closing price. The final cash settlement price of BRIXX Retail 

Index Futures Contracts will be rounded to the nearest $.01. If the final cash settlement price

is not available or the normalsettlement procedure cannot be utilized due to a trading

disruption or other unusual circumstance, the settlement price will be determined in

accordance with Exchange procedures.

The Exchange makes no warranty, express or implied, as to the results of the final 

settlement prices of the BRIXX Retail Index. Information included in, or used in the 

calculation of, such indexes is obtained from sources believed to be reliable, but the 

Exchange makes no guaranteeas to its accuracy or completeness and will have no liability 

for any damages, claims, losses (including any indirect or consequential losses), expenses, 

or delays, whether direct or indirect, foreseen or unforeseen, suffered by any person arising 

out of any circumstance or occurrence relating to the index or its calculation, or arising out 

of any errors or delays in calculating or disseminating such index.

86.12. DAILY SETTLEMENT PRICE.

The Exchange will calculate the daily settlement price for BRIXX Retail Index Futures 

Contracts in the following manner for each Business Day. The settlement price will be 

consistent with the minimum fluctuations of the contract.

A. The settlement price for the lead month will be determined by the volumeweightedaverage of outright trades and applicable bids and offers made in 

the closing period on the Electronic Trading System. For purposes of this

Rule, the lead monthwill be determined by the Exchange and is generally the 

most active month. The lead month will change at the time when the daily 

volume and open interest in thecontract month following the current lead 

month is greater than the daily volume and open interest in the lead month

for two (2) consecutive Business Days. If there is no volume-weighted

average of the outright, then the last trade price is compared to the current 

bid/ask. If the last trade price is outside of the bid/ask spread, then the

contract settles to the nearest bid/ask price. If the last trade priceis within the

bid/ask spread or if a bid/ask is not available, then the contract settlesto the 

last trade price. If there is no last trade price available, then the prior

settlement is compared to the current bid/ask. If the prior settlement is 

outside of the bid/ask spread, then the contract settles to the nearest bid/ask

price. If the priorsettlement is within the bid/ask spread or if a bid/ask is not 

available, then the contract settles to the prior settlement price.

B. All non-lead months are deferred contract months and settle based upon the

volume-weighted average of calendar spread transactions made in the 

closing period on the Electronic Trading System. If there are no relevant

calendar spreads,bids and offers in those calendar spreads will be used in

conjunction with settlements from any months where a settlement price has 

been determined to form an implied market in the contract to be settled. 

These implied markets, along with the outright bid/ask market for the 

contract, will be used to derive the best possible bid and best possible ask, 

and the contract will settle at the midpoint of the bid/ask spread.

C. Notwithstanding the above, if such settlement price is not consistent with the

settlements in other months or with market information, or if the settlement 

was inaccurately determined, a new settlement price may be established at 
a level consistent with such other settlement prices or market information, 

and a written record setting forth the basis for any modification of such 

settlement price will be prepared.

D. The Exchange may in its sole discretion modify the settlement price prior to 

the start of the day’s final clearing process if the settlement price arose from

data entry errors made by or on behalf of the Exchange, and modification of 

the settlement price is necessary to prevent market distortion. A written 

record will be prepared setting forth the basis for any modification. In 

addition, the Exchange reserves theright to change which contract month is 

the lead month when, in its discretion, doing so is in the best interest of the 

marketplace. If any such change to the lead month is made pursuant to this

Rule, the Exchange shall provide notification to thepublic via the MGEX

website or other means it deems effective.

86.13. TRADING HALTS.

Trading halts for BRIXX Retail Index Futures Contracts can be triggered by volatility in the 

S&P 500 Index, including the following market declines:

A. Level 1: 15-minute trading halt following a seven percent (7%) decline in the 

S&P500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 

a.m. Central Time in the case of early close).

B. Level 2: 15-minute trading halt following a thirteen percent (13%) decline in 

the S&P 500 Index (unless decline occurs after 2:25 p.m. Central Time or 

11:25 a.m. Central Time in the case of early close).

C. Level 3: Trading halt for the remainder of the trading session following a 

twenty percent (20%) decline in the S&P 500 Index, effective during all 

regular Hours of Trading.

86.14. OFFSETS AND TRANSFER TRADES.

Positions reported as offsets and/or position change data must be reported to the Clearing

Houseeach day by the established deadlines and in a manner that meets the provisions of 

MGEX Resolution 2101.00.C. Positions that have been offset at the Exchange may not

subsequently bere-opened at the Exchange.

Except by same day trade activity, existing BRIXX Retail Index Futures positions in an 

expiring BRIXX Retail Index Futures Contract month may not be offset during the period

beginning two (2)Business Days prior to the first Business Day of the expiring month and 

continuing through the end of the settlement date of the expiring BRIXX Retail Index Futures 

Contracts (“Prohibition Period”). Clearing Members will be responsible for compliance with 

this requirement by their omnibus accounts. This prohibition also applies to transfer trades

where no change in ownershipis involved when the date of execution or exercise of the

position being transferred is not the sameas the transfer date. Such positions are required 

to be offset by trading. If such positions are carried on the books of different Clearing

Members, the receiving Clearing Member is responsiblefor compliance with this Rule.

At its sole discretion, the Department of Audits and Investigations may permit an offset

during theProhibition Period via netting, transfer, or position adjustment. Such adjustments 

are permissibleto correct a bona fide clerical or operational error for an amount less than 
five percent (5.0%) of the published open interest reported the same morning for which the

offset will be reported by the Clearing Member’s morning position reporting deadline. 

Moreover, such adjustments are only permissible if the Department of Audits and 

Investigations reasonably believes the offset will not adversely impact the market. Such 

permission does not prohibit the Department of Audits and Investigations from investigating

or taking disciplinary action for any alleged violation of the Rulebook.

86.15. BLOCK TRADES.

For purposes of this Rule, Block Trades are defined as large transactions that are privately

negotiated off the Exchange’s Electronic Trading System and can only be entered into by

EligibleContract Participants, as defined in Section 1a(18) of the Commodity Exchange Act.

Block Trades are permitted to be executed in BRIXX Retail Index Futures Contracts, 

provided they are in accordance with the following provisions:

A. A Block Trade must be for a quantity that is at or in excess of the applicable

minimum threshold. Orders for different accounts may not be aggregated in 

orderto achieve the minimum transaction size. The Block Trade minimum 

threshold in BRIXX Retail Index Futures Contracts is 500 contracts.

B. A Party shall not execute any order as a Block Trade for a customer unless 

such customer has specified that the order be executed as a Block Trade.

C. The Block Trade is executed competitively at a price that is fair and 

reasonable with consideration to the prevailing market price of BRIXX Retail 

Index Futures Contracts. The minimum price increment for a Block Trade in 

BRIXX Retail IndexFutures Contracts is 0.10 index points.

D. Block Trades will not trigger conditional orders or otherwise affect orders in 

the underlying BRIXX Retail Index Futures Contract traded on the Electronic 

Trading System.

E. Clearing Members must ensure that each side of the Block Trade is reported 

to the Exchange within fifteen (15) minutes (but in no case later than 3:15 

p.m. Central Time) and in the manner specified by the Exchange. The

reporting of eachside of the Block Trade must include the: contract, contract 

month, price, quantityof the transaction including quantities for each leg, 

buy/sell side, CTI and Regular(House) or Segregated (Customer) indicators, 

account number, the respective Clearing Members, the time of execution, 

and any other information required in accordance with MGEX Rules.

F. Each counterparty to a Block Trade must have a separate and independent

bona-fide legal or business purpose for entering into the Block Trade.

G. Parties involved in the solicitation or negotiation of a Block Trade may not

disclosethe details of such communication to any other party for any purpose

other than tofacilitate the execution of the Block Trade.

86.16. POSITION ACCOUNTABILITY.
The position accountability levels for BRIXX Retail Index Futures Contracts are as follows:

A. Ownership or control at any time of more than 25,000 contracts net long or

short inall BRIXX Retail Index Futures Contracts Combined.

B. Ownership or control of more than 15,000 contracts net long or net short in 

the expiring BRIXX Retail Index Futures, effective at the start of Hours of 

Trading for the Friday prior to the Final Settlement Date of the expiring BRIXX 

Retail Index Futures.

C. Ownership or control of more than 5,000 net long or net short in the expiring

BRIXXRetail Index Futures, effective at the start of the Hours of Trading for 

the Business Day immediately preceding the Final Settlement Date of the 

expiring BRIXX RetailIndex Futures.

86.17. AGGREGATION OF POSITIONS.

In determining whether any person has exceeded the position accountability levels, all 

positions in accounts for which such person by power of attorney or otherwise directly or 

indirectly holds positions or controls trading must be included with the positions held by 

such person. Such positions accountability levels will apply to positions held by two (2) or 

more persons acting pursuant to an expressed or implied agreement or understanding, the 

same as if the positions were held by a single person. The Exchange will follow the CFTC 

definition of aggregation and the procedures for aggregating positions as described in CFTC

regulations as applicable.

86.18. REPORTABLE POSITION AND TRADING VOLUME.

A. Pursuant to CFTC Regulation 15.03 and Part 17, any open position level in

BRIXXRetail Index Futures Contracts at the close of trading on any trading 

day equal to,or in excess of, 25 contracts on either side of the market is

required to be reportedto the CFTC. All such positions will be reported in a

manner and form as designated by the CFTC or the Exchange.

B. Pursuant to CFTC Regulation 15.04 and Part 17, a volume threshold 

account thathas trading volume in BRIXX Retail Index Futures Contracts

during a single tradingday equal to, or in excess of, 50 contracts is required 

to be reported to the CFTC.All such positions must be reported in a manner 

and form as designated by the CFTC or the Exchange.

86.19. CONTRACT MODIFICATIONS.

Specifications are fixed for the duration of the contract month upon the first trade in that 

contractmonth. However, a change in any Federal law, regulation, ruling, directive, or order 

that conflictswith these Rules or specifications will become effective upon notice by the

Exchange. Additionally, the Board of Directors and/or the Exchange are granted the

authority to change contractspecifications as it deems appropriate or necessary, or to 

conform to any other applicable law, rule, or regulation that conflicts with these Rules or 

specifications, for any unopened contract month, as well as to change contract specifications

for any contract month with open interest uponapproval by the CFTC.

To maintain the purpose and viability of BRIXX Retail Index Futures Contracts, the Board 
of Directors and/or the Exchange are granted the authority to change the MGEX Rules not 

directly affecting contract specifications at any time and implement such change as may be

determined.

86.20. EMERGENCIES.

In the event of an emergency, as determined by the Exchange, the Board of Directors will 

have the authority and power to follow the procedures described in MGEX Bylaw 2.4. The 

Board of Directors may delegate such powers as it deems necessary to the Executive

Committee,Exchange Officer(s), or other Exchange employees.

An emergency may include, but is not limited to, events of Force Majeure, interference,

interruptions, breakage of communication, accident, or any event or occurrence that is

causing ormay cause disruption in the marketplace.

Additionally, in the event of an emergency, the Board of Directors or its delegate(s) will have 

theauthority and power to utilize such sources, means, or methods that it determines to be 

in the best interest of the Exchange and the market.

The decision of the Board of Directors, Executive Committee, Exchange Officer(s), or other

Exchange employees as delegated, will be final and binding upon all parties. The Exchange 

will not be liable to any party because of actions and decisions taken in good faith.

CHAPTER 87

BRIXX OFFICE INDEX FUTURES

87.1. AUTHORITY.

Trading in BRIXXTM Office Index (the “BRIXX Office Index”) Futures may be conducted under such

terms and conditions as the Board of Directors and/or the Exchange will determine, subjectto the 

CEA and CFTC regulations promulgated thereunder.

87.2. SCOPE OF CHAPTER.

This Chapter is limited in its application to Futures trading on the BRIXX Office Index. Electronic

trading, clearing, daily settlement, delivery of cash settlement, and any other matters notspecifically

covered in this Chapter will be governed by the MGEX Rules, or otherwise delegatedto the 

Exchange to establish policies and procedures that implement the MGEX Rules. In the event the 

provisions of this Chapter conflict with any other MGEX Rules, those listed within this Chapter and

as applicable to Futures Contracts on the BRIXX Office Index supersede such MGEXRules outside 

of this Chapter.

87.3. BRIXX OFFICE INDEX: DEFINITION.

The BRIXX Office Index generally consists of 15 (but not less than 10) publicly traded real estate

investment trusts / equity companies that are listed on a U.S. Securities Exchange. The BRIXX

Office Index seeks to measure the price per square foot of office space value.

87.4. BRIXX OFFICE INDEX: COMPONENT CHANGES.
The composition of the BRIXX Office Index is determined at the time of its reconstitution, which

occurs on the Wednesday before the third Friday of each quarter-end month (March, June,

September, and December). In the event such Wednesday is a holiday, the reconstitution will be

moved one day prior to Tuesday. The reconstitution will be effective after the close on the Friday 

following the reconstitution. If that Friday is a holiday, the reconstitution will be effective after the 

close on the preceding Business Day. No changes shall be made to the BRIXX Office Index

components except at the quarterly reconstitution unless a component entity closes a merger

transaction, files for bankruptcy, or is delisted from its principal exchange (each, a “Corporate

Action”). If a Corporate Action takes place prior to the quarterly reconstitution, the affected

component shall be replaced with a new eligible component prior to the next trading day. In the

event there are no eligible components, the weighting of the removed component will be

proportionally redistributed over the remaining index components. A third party shall monitor and

make all BRIXX Office Index reconstitutions.

The component weights of the BRIXX Office Index are adjusted and reset on a monthly basis after 

the close of business on the third Friday of each month. In the event the third Friday of the month 

is a holiday, the reset will be moved one day prior to Thursday. The newly calculated component

weights for the BRIXX Office Index will be effective on the first Business Day followingthe reset. This 

monthly reset adjusts the weights of the BRIXX Office Index components, but no changes, 

additions, or deletions are made to the individual components.

Should an index reconstitution result in the BRIXX Office Index becoming a narrow-based security

index as defined in section 1a(35) of the CEA, the Exchange would follow applicable CFTC

regulations governing the transition period for trading purposes.

87.5. CONTRACT TRADING UNIT.

The unit of trading will be the value of BRIXX Office Index Futures Contracts multiplied by one 

hundred U.S. dollars ($100.00).

87.6. MINIMUM PRICE INCREMENT.

Except as provided in this Rule, the minimum price increment in BRIXX Office Index Futures

Contracts will be 0.10 index points, which has a value of $10.00. All prices are quoted in U.S.

dollars.

87.7. TRADING MONTHS.

The months available for trading in BRIXX Office Index Futures Contracts and the number of

months available for trade at one time will be determined by the Exchange.

87.8. TRADING DAYS AND HOURS.

A trading day is a Business Day on which trading of BRIXX Office Index Futures Contracts is

permitted. Trading days are determined by the Exchange. The Hours of Trading for BRIXX Office

Index Futures Contracts will constitute a single trading session for a Business Day.

Unless otherwise specified by the Exchange in relation to Exchange holidays, the Hours of Trading 

for BRIXX Office Index Futures Contracts will be 8:30 a.m. – 3:00 p.m. Monday – FridayCentral

Time.

87.9. LAST TRADING DAY.
The last trading day ends at 3:00 p.m. Central Time for BRIXX Office Index Futures Contracts on

the trading day immediately before the final settlement date, generally the Thursday preceding the

third Friday of a calendar month. Should the last trading day be a holiday, the last trading daywill be 

moved one day prior to Wednesday.

87.10. FINAL SETTLEMENT DATE.

The final settlement date for BRIXX Office Index Futures Contracts is the third Friday of a calendar

month. Should the third Friday of the month be a holiday, the final settlement date will be moved

one day prior to Thursday, and the last trading day will be moved to Wednesday.

87.11. CASH SETTLEMENT.

BRIXX Office Index Futures are cash settled. The final cash settlement price of the expiring BRIXX

Office Index Futures Contract is determined by the official opening prices of the BRIXX Office Index 

components as traded on their primary markets. If a component stock of the BRIXX OfficeIndex 

does not trade, then the price used for the component stock shall be the prior trading session’s 

closing price. The final cash settlement price of BRIXX Office Index Futures Contracts will be

rounded to the nearest $.01. If the final cash settlement price is not available or the normalsettlement

procedure cannot be utilized due to a trading disruption or other unusual circumstance, the

settlement price will be determined in accordance with Exchange procedures.

The Exchange makes no warranty, express or implied, as to the results of the final settlement

prices of the BRIXX Office Index. Information included in, or used in the calculation of, such indexes

is obtained from sources believed to be reliable, but the Exchange makes no guarantee as to its 

accuracy or completeness and will have no liability for any damages, claims, losses (including any 

indirect or consequential losses), expenses, or delays, whether direct or indirect, foreseen or 

unforeseen, suffered by any person arising out of any circumstance or occurrence relating to the 

index or its calculation, or arising out of any errors or delays in calculating or disseminating such

index.

87.12. DAILY SETTLEMENT PRICE.

The Exchange will calculate the daily settlement price for BRIXX Office Index Futures Contracts in 

the following manner for each Business Day. The settlement price will be consistent with the

minimum fluctuations of the contract.

A. The settlement price for the lead month will be determined by the volume-weighted

average of outright trades and applicable bids and offers made in the closing period

on the Electronic Trading System. For purposes of this Rule, the lead monthwill be 

determined by the Exchange and is generally the most active month. The lead 

month will change at the time when the daily volume and open interest in the

contract month following the current lead month is greater than the daily volume

and open interest in the lead month for two (2) consecutive Business Days. If there

is no volume-weighted average of the outright, then the last trade price is

compared to the current bid/ask. If the last trade price is outside of the bid/ask

spread, then the contract settles to the nearest bid/ask price. If the last trade price

is within the bid/ask spread or if a bid/ask is not available, then the contract settles

to the last trade price. If there is no last trade price available, then the prior

settlement is compared to the current bid/ask. If the prior settlement is outside of

the bid/ask spread, then the contract settles to the nearest bid/ask price. If the prior

settlement is within the bid/ask spread or if a bid/ask is not available, then the
contract settles to the prior settlement price.

B. All non-lead months are deferred contract months and settle based upon the

volume-weighted average of calendar spread transactions made in the closing

period on the Electronic Trading System. If there are no relevant calendar spreads,

bids and offers in those calendar spreads will be used in conjunction with

settlements from any months where a settlement price has been determined to

form an implied market in the contract to be settled. These implied markets, along

with the outright bid/ask market for the contract, will be used to derive the best

possible bid and best possible ask, and the contract will settle at the midpoint of

the bid/ask spread.

C. Notwithstanding the above, if such settlement price is not consistent with the

settlements in other months or with market information, or if the settlement was

inaccurately determined, a new settlement price may be established at a level

consistent with such other settlement prices or market information, and a written

record setting forth the basis for any modification of such settlement price will be

prepared.

D. The Exchange may in its sole discretion modify the settlement price prior to the

start of the day’s final clearing process if the settlement price arose from data entry

errors made by or on behalf of the Exchange, and modification of the settlement

price is necessary to prevent market distortion. A written record will be prepared

setting forth the basis for any modification. In addition, the Exchange reserves the

right to change which contract month is the lead month when, in its discretion,

doing so is in the best interest of the marketplace. If any such change to the lead

month is made pursuant to this Rule, the Exchange shall provide notification to the

public via the MGEX website or other means it deems effective.

87.13. TRADING HALTS.

Trading halts for BRIXX Office Index Futures Contracts can be triggered by volatility in the S&P

500 Index, including the following market declines:

A. Level 1: 15-minute trading halt following a seven percent (7%) decline in the S&P

500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

B. Level 2: 15-minute trading halt following a thirteen percent (13%) decline in the

S&P 500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

C. Level 3: Trading halt for the remainder of the trading session following a twenty

percent (20%) decline in the S&P 500 Index, effective during all regular Hours of

Trading.

87.14. OFFSETS AND TRANSFER TRADES.

Positions reported as offsets and/or position change data must be reported to the Clearing House

each day by the established deadlines and in a manner that meets the provisions of MGEX

Resolution 2101.00.C. Positions that have been offset at the Exchange may not subsequently be

re-opened at the Exchange.

Except by same day trade activity, existing BRIXX Office Index Futures positions in an expiring
BRIXX Office Index Futures Contract month may not be offset during the period beginning two

(2) Business Days prior to the first Business Day of the expiring month and continuing through the

end of the settlement date of the expiring BRIXX Office Index Futures Contracts (“Prohibition

Period”). Clearing Members will be responsible for compliance with this requirement by their

omnibus accounts. This prohibition also applies to transfer trades where no change in ownershipis

involved when the date of execution or exercise of the position being transferred is not the sameas 

the transfer date. Such positions are required to be offset by trading. If such positions are carried

on the books of different Clearing Members, the receiving Clearing Member is responsible for

compliance with this Rule.

At its sole discretion, the Department of Audits and Investigations may permit an offset during the

Prohibition Period via netting, transfer, or position adjustment. Such adjustments are permissible

to correct a bona fide clerical or operational error for an amount less than five percent (5.0%) of

the published open interest reported the same morning for which the offset will be reported by the

Clearing Member’s morning position reporting deadline. Moreover, such adjustments are only

permissible if the Department of Audits and Investigations reasonably believes the offset will not

adversely impact the market. Such permission does not prohibit the Department of Audits and

Investigations from investigating or taking disciplinary action for any alleged violation of the

Rulebook.

87.15. BLOCK TRADES.

For purposes of this Rule, Block Trades are defined as large transactions that are privately

negotiated off the Exchange’s Electronic Trading System and can only be entered into by Eligible

Contract Participants, as defined in Section 1a(18) of the Commodity Exchange Act.

Block Trades are permitted to be executed in BRIXX Office Index Futures Contracts, provided they 

are in accordance with the following provisions:

A. A Block Trade must be for a quantity that is at or in excess of the applicable

minimum threshold. Orders for different accounts may not be aggregated in order

to achieve the minimum transaction size. The Block Trade minimum threshold in

BRIXX Office Index Futures Contracts is 500 contracts.

B. A Party shall not execute any order as a Block Trade for a customer unless such

customer has specified that the order be executed as a Block Trade.

C. The Block Trade is executed competitively at a price that is fair and reasonable

with consideration to the prevailing market price of BRIXX Office Index Futures

Contracts. The minimum price increment for a Block Trade in BRIXX Office Index

Futures Contracts is 0.10 index points.

D. Block Trades will not trigger conditional orders or otherwise affect orders in the

underlying BRIXX Office Index Futures Contract traded on the Electronic Trading

System.

E. Clearing Members must ensure that each side of the Block Trade is reported to

the Exchange within fifteen (15) minutes (but in no case later than 3:15 p.m.

Central Time) and in the manner specified by the Exchange. The reporting of each

side of the Block Trade must include the: contract, contract month, price, quantity

of the transaction including quantities for each leg, buy/sell side, CTI and Regular

(House) or Segregated (Customer) indicators, account number, the respective

Clearing Members, the time of execution, and any other information required in
accordance with MGEX Rules.

F. Each counterparty to a Block Trade must have a separate and independent bonafide legal or business purpose for entering into the Block Trade.

G. Parties involved in the solicitation or negotiation of a Block Trade may not disclose

the details of such communication to any other party for any purpose other than to

facilitate the execution of the Block Trade.

87.16. POSITION ACCOUNTABILITY.

The position accountability levels for BRIXX Office Index Futures Contracts are as follows:

A. Ownership or control at any time of more than 25,000 contracts net long or short

in all BRIXX Office Index Futures Contracts Combined.

B. Ownership or control of more than 15,000 contracts net long or net short in the

expiring BRIXX Office Index Futures, effective at the start of Hours of Trading for

the Friday prior to the Final Settlement Date of the expiring BRIXX Office Index

Futures.

C. Ownership or control of more than 5,000 net long or net short in the expiring BRIXX

Office Index Futures, effective at the start of the Hours of Trading for the Business

Day immediately preceding the Final Settlement Date of the expiring BRIXX Office

Index Futures.

87.17. AGGREGATION OF POSITIONS.

In determining whether any person has exceeded the position accountability levels, all positions in 

accounts for which such person by power of attorney or otherwise directly or indirectly holds

positions or controls trading must be included with the positions held by such person. Such

positions accountability levels will apply to positions held by two (2) or more persons acting

pursuant to an expressed or implied agreement or understanding, the same as if the positions were 

held by a single person. The Exchange will follow the CFTC definition of aggregation and the

procedures for aggregating positions as described in CFTC regulations as applicable.

87.18. REPORTABLE POSITION AND TRADING VOLUME.

A. Pursuant to CFTC Regulation 15.03 and Part 17, any open position level in BRIXX

Office Index Futures Contracts at the close of trading on any trading day equal to,

or in excess of, 25 contracts on either side of the market is required to be reported

to the CFTC. All such positions will be reported in a manner and form asdesignated

by the CFTC or the Exchange.

B. Pursuant to CFTC Regulation 15.04 and Part 17, a volume threshold account that

has trading volume in BRIXX Office Index Futures Contracts during a single trading

day equal to, or in excess of, 50 contracts is required to be reported to the CFTC.

All such positions must be reported in a manner and form as designated by the

CFTC or the Exchange.

87.19. CONTRACT MODIFICATIONS.
Specifications are fixed for the duration of the contract month upon the first trade in that contract

month. However, a change in any Federal law, regulation, ruling, directive, or order that conflicts

with these Rules or specifications will become effective upon notice by the Exchange. Additionally,

the Board of Directors and/or the Exchange are granted the authority to change contract

specifications as it deems appropriate or necessary, or to conform to any other applicable law, rule, 

or regulation that conflicts with these Rules or specifications, for any unopened contract month, as

well as to change contract specifications for any contract month with open interest uponapproval by

the CFTC.

To maintain the purpose and viability of BRIXX Office Index Futures Contracts, the Board of

Directors and/or the Exchange are granted the authority to change the MGEX Rules not directly

affecting contract specifications at any time and implement such change as may be determined.

87.20. EMERGENCIES.

In the event of an emergency, as determined by the Exchange, the Board of Directors will have the 

authority and power to follow the procedures described in MGEX Bylaw 2.4. The Board of Directors 

may delegate such powers as it deems necessary to the Executive Committee, Exchange

Officer(s), or other Exchange employees.

An emergency may include, but is not limited to, events of Force Majeure, interference,

interruptions, breakage of communication, accident, or any event or occurrence that is causing or

may cause disruption in the marketplace.

Additionally, in the event of an emergency, the Board of Directors or its delegate(s) will have the

authority and power to utilize such sources, means, or methods that it determines to be in the best

interest of the Exchange and the market.

The decision of the Board of Directors, Executive Committee, Exchange Officer(s), or other

Exchange employees as delegated, will be final and binding upon all parties. The Exchange will

not be liable to any party because of actions and decisions taken in good faith.

CHAPTER 88

BRIXX RESIDENTIAL INDEX FUTURES

88.1. AUTHORITY.

Trading in BRIXXTM Residential Index (the “BRIXX Residential Index”) Futures may be conducted

under such terms and conditions as the Board of Directors and/or the Exchange will determine,

subject to the CEA and CFTC regulations promulgated thereunder.

88.2. SCOPE OF CHAPTER.

This Chapter is limited in its application to Futures trading on the BRIXX Residential Index.

Electronic trading, clearing, daily settlement, delivery of cash settlement, and any other matters not 

specifically covered in this Chapter will be governed by the MGEX Rules, or otherwise delegated

to the Exchange to establish policies and procedures that implement the MGEX Rules.In the event

the provisions of this Chapter conflict with any other MGEX Rules, those listed withinthis Chapter 

and as applicable to Futures Contracts on the BRIXX Residential Index supersede such MGEX 

Rules outside of this Chapter.

88.3. BRIXX RESIDENTIAL INDEX: DEFINITION.
The BRIXX Residential Index generally consists of 15 (but not less than 10) publicly traded real

estate investment trusts / equity companies that are listed on a U.S. Securities Exchange. The

BRIXX Residential Index seeks to measure the price per unit of residential space.

88.4. BRIXX RESIDENTIAL INDEX: COMPONENT CHANGES.

The composition of the BRIXX Residential Index is determined at the time of its reconstitution,

which occurs on the Wednesday before the third Friday of each quarter-end month (March, June,

September, and December). In the event such Wednesday is a holiday, the reconstitution will be

moved one day prior to Tuesday. The reconstitution will be effective after the close on the Friday 

following the reconstitution. If that Friday is a holiday, the reconstitution will be effective after the 

close on the preceding Business Day. No changes shall be made to the BRIXX Residential Index 

components except at the quarterly reconstitution unless a component entity closes a merger 

transaction, files for bankruptcy, or is delisted from its principal exchange (each, a “Corporate 

Action”). If a Corporate Action takes place prior to the quarterly reconstitution, the affected

component shall be replaced with a new eligible component prior to the next trading day.In the event 

there are no eligible components, the weighting of the removed component will be proportionally

redistributed over the remaining index components. A third party shall monitor andmake all BRIXX

Residential Index reconstitutions.

The component weights of the BRIXX Residential Index are adjusted and reset on a monthly basis 

after the close of business on the third Friday of each month. In the event the third Friday of the

month is a holiday, the reset will be moved one day prior to Thursday. The newly calculated

component weights for the BRIXX Residential Index will be effective on the first Business Day

following the reset. This monthly reset adjusts the weights of the BRIXX Residential Index

components, but no changes, additions, or deletions are made to the individual components.

Should an index reconstitution result in the BRIXX Residential Index becoming a narrow-based

security index as defined in section 1a(35) of the CEA, the Exchange would follow applicable CFTC

regulations governing the transition period for trading purposes. 
88.5. CONTRACT TRADING UNIT.

The unit of trading will be the value of BRIXX Residential Index Futures Contracts multiplied by

one hundred U.S. dollars ($100.00).

88.6. MINIMUM PRICE INCREMENT.

Except as provided in this Rule, the minimum price increment in BRIXX Residential Index Futures

Contracts will be 0.10 index points, which has a value of $10.00. All prices are quoted in U.S.

dollars.

88.7. TRADING MONTHS.

The months available for trading in BRIXX Residential Index Futures Contracts and the number of

months available for trade at one time will be determined by the Exchange.

88.8. TRADING DAYS AND HOURS.

A trading day is a Business Day on which trading of BRIXX Residential Index Futures Contracts is 

permitted. Trading days are determined by the Exchange. The Hours of Trading for BRIXX

Residential Index Futures Contracts will constitute a single trading session for a Business Day.

Unless otherwise specified by the Exchange in relation to Exchange holidays, the Hours of Trading 

for BRIXX Residential Index Futures Contracts will be 8:30 a.m. – 3:00 p.m. Monday – Friday

Central Time.

88.9. LAST TRADING DAY.

The last trading day ends at 3:00 p.m. Central Time for BRIXX Residential Index Futures Contracts

on the trading day immediately before the final settlement date, generally the Thursdaypreceding 

the third Friday of a calendar month. Should the last trading day be a holiday, the last trading day

will be moved one day prior to Wednesday.

88.10. FINAL SETTLEMENT DATE.

The final settlement date for BRIXX Residential Index Futures Contracts is the third Friday of a

calendar month. Should the third Friday of the month be a holiday, the final settlement date will be

moved one day prior to Thursday, and the last trading day will be moved to Wednesday.

88.11. CASH SETTLEMENT.

BRIXX Residential Index Futures are cash settled. The final cash settlement price of the expiring

BRIXX Residential Index Futures Contract is determined by the official opening prices of the BRIXX 

Residential Index components as traded on their primary markets. If a component stock of the

BRIXX Residential Index does not trade, then the price used for the component stock shallbe the 

prior trading session’s closing price. The final cash settlement price of BRIXX ResidentialIndex 

Futures Contracts will be rounded to the nearest $.01. If the final cash settlement price is not 

available or the normal settlement procedure cannot be utilized due to a trading disruption orother

unusual circumstance, the settlement price will be determined in accordance with Exchange
procedures.

The Exchange makes no warranty, express or implied, as to the results of the final settlement

prices of the BRIXX Residential Index. Information included in, or used in the calculation of, such

indexes is obtained from sources believed to be reliable, but the Exchange makes no guaranteeas 

to its accuracy or completeness and will have no liability for any damages, claims, losses (including 

any indirect or consequential losses), expenses, or delays, whether direct or indirect, foreseen or 

unforeseen, suffered by any person arising out of any circumstance or occurrence relating to the 

index or its calculation, or arising out of any errors or delays in calculating or disseminating such

index.

88.12. DAILY SETTLEMENT PRICE.

The Exchange will calculate the daily settlement price for BRIXX Residential Index Futures

Contracts in the following manner for each Business Day. The settlement price will be consistent

with the minimum fluctuations of the contract.

A. The settlement price for the lead month will be determined by the volume-weighted

average of outright trades and applicable bids and offers made in the closing period

on the Electronic Trading System. For purposes of this Rule, the lead monthwill be 

determined by the Exchange and is generally the most active month. The lead 

month will change at the time when the daily volume and open interest in the

contract month following the current lead month is greater than the daily volume

and open interest in the lead month for two (2) consecutive Business Days. If there

is no volume-weighted average of the outright, then the last trade price is

compared to the current bid/ask. If the last trade price is outside of the bid/ask

spread, then the contract settles to the nearest bid/ask price. If the last trade price

is within the bid/ask spread or if a bid/ask is not available, then the contract settles

to the last trade price. If there is no last trade price available, then the prior

settlement is compared to the current bid/ask. If the prior settlement is outside of

the bid/ask spread, then the contract settles to the nearest bid/ask price. If the prior

settlement is within the bid/ask spread or if a bid/ask is not available, then the

contract settles to the prior settlement price.

B. All non-lead months are deferred contract months and settle based upon the

volume-weighted average of calendar spread transactions made in the closing

period on the Electronic Trading System. If there are no relevant calendar spreads,

bids and offers in those calendar spreads will be used in conjunction with

settlements from any months where a settlement price has been determined to

form an implied market in the contract to be settled. These implied markets, along

with the outright bid/ask market for the contract, will be used to derive the best

possible bid and best possible ask, and the contract will settle at the midpoint of

the bid/ask spread.

C. Notwithstanding the above, if such settlement price is not consistent with the

settlements in other months or with market information, or if the settlement was

inaccurately determined, a new settlement price may be established at a level

consistent with such other settlement prices or market information, and a written

record setting forth the basis for any modification of such settlement price will be

prepared.

D. The Exchange may in its sole discretion modify the settlement price prior to the
start of the day’s final clearing process if the settlement price arose from data entryerrors made by 

or on behalf of the Exchange, and modification of the settlement price is necessary to prevent 

market distortion. A written record will be prepared setting forth the basis for any modification. In

addition, the Exchange reserves theright to change which contract month is the lead month when, 

in its discretion, doing so is in the best interest of the marketplace. If any such change to the lead

month is made pursuant to this Rule, the Exchange shall provide notification to thepublic via the

MGEX website or other means it deems effective.

88.13. TRADING HALTS.

Trading halts for BRIXX Residential Index Futures Contracts can be triggered by volatility in the

S&P 500 Index, including the following market declines:

A. Level 1: 15-minute trading halt following a seven percent (7%) decline in the S&P

500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

B. Level 2: 15-minute trading halt following a thirteen percent (13%) decline in the

S&P 500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

C. Level 3: Trading halt for the remainder of the trading session following a twenty

percent (20%) decline in the S&P 500 Index, effective during all regular Hours of

Trading.

88.14. OFFSETS AND TRANSFER TRADES.

Positions reported as offsets and/or position change data must be reported to the Clearing House

each day by the established deadlines and in a manner that meets the provisions of MGEX

Resolution 2101.00.C. Positions that have been offset at the Exchange may not subsequently be

re-opened at the Exchange.

Except by same day trade activity, existing BRIXX Residential Index Futures positions in an

expiring BRIXX Residential Index Futures Contract month may not be offset during the period

beginning two (2) Business Days prior to the first Business Day of the expiring month and

continuing through the end of the settlement date of the expiring BRIXX Residential Index Futures

Contracts (“Prohibition Period”). Clearing Members will be responsible for compliance with this

requirement by their omnibus accounts. This prohibition also applies to transfer trades where no

change in ownership is involved when the date of execution or exercise of the position being

transferred is not the same as the transfer date. Such positions are required to be offset by trading.If 

such positions are carried on the books of different Clearing Members, the receiving Clearing

Member is responsible for compliance with this Rule.

At its sole discretion, the Department of Audits and Investigations may permit an offset during the

Prohibition Period via netting, transfer, or position adjustment. Such adjustments are permissibleto 

correct a bona fide clerical or operational error for an amount less than five percent (5.0%) of the

published open interest reported the same morning for which the offset will be reported by the

Clearing Member’s morning position reporting deadline. Moreover, such adjustments are only

permissible if the Department of Audits and Investigations reasonably believes the offset will not

adversely impact the market. Such permission does not prohibit the Department of Audits and
Investigations from investigating or taking disciplinary action for any alleged violation of the

Rulebook.

88.15. BLOCK TRADES.

For purposes of this Rule, Block Trades are defined as large transactions that are privately

negotiated off the Exchange’s Electronic Trading System and can only be entered into by Eligible

Contract Participants, as defined in Section 1a(18) of the Commodity Exchange Act.

Block Trades are permitted to be executed in BRIXX Residential Index Futures Contracts, provided

they are in accordance with the following provisions:

A. A Block Trade must be for a quantity that is at or in excess of the applicable

minimum threshold. Orders for different accounts may not be aggregated in order

to achieve the minimum transaction size. The Block Trade minimum threshold in

BRIXX Residential Index Futures Contracts is 500 contracts.

B. A Party shall not execute any order as a Block Trade for a customer unless such

customer has specified that the order be executed as a Block Trade.

C. The Block Trade is executed competitively at a price that is fair and reasonable

with consideration to the prevailing market price of BRIXX Residential Index

Futures Contracts. The minimum price increment for a Block Trade in BRIXX

Residential Index Futures Contracts is 0.10 index points.

D. Block Trades will not trigger conditional orders or otherwise affect orders in the

underlying BRIXX Residential Index Futures Contract traded on the Electronic

Trading System.

E. Clearing Members must ensure that each side of the Block Trade is reported to

the Exchange within fifteen (15) minutes (but in no case later than 3:15 p.m.

Central Time) and in the manner specified by the Exchange. The reporting of each

side of the Block Trade must include the: contract, contract month, price, quantity

of the transaction including quantities for each leg, buy/sell side, CTI and Regular

(House) or Segregated (Customer) indicators, account number, the respective

Clearing Members, the time of execution, and any other information required in

accordance with MGEX Rules.

F. Each counterparty to a Block Trade must have a separate and independent bonafide legal or business purpose for entering into the Block Trade.

G. Parties involved in the solicitation or negotiation of a Block Trade may not disclose

the details of such communication to any other party for any purpose other than to

facilitate the execution of the Block Trade.

88.16. POSITION ACCOUNTABILITY.

The position accountability levels for BRIXX Residential Index Futures Contracts are as follows:

A. Ownership or control at any time of more than 25,000 contracts net long or short

in all BRIXX Residential Index Futures Contracts Combined.
B. Ownership or control of more than 15,000 contracts net long or net short in the

expiring BRIXX Residential Index Futures, effective at the start of Hours of Trading

for the Friday prior to the Final Settlement Date of the expiring BRIXX Residential

Index Futures.

C. Ownership or control of more than 5,000 net long or net short in the expiring BRIXX

Residential Index Futures, effective at the start of the Hours of Trading for the

Business Day immediately preceding the Final Settlement Date of the expiring

BRIXX Residential Index Futures.

88.17. AGGREGATION OF POSITIONS.

In determining whether any person has exceeded the position accountability levels, all positions in 

accounts for which such person by power of attorney or otherwise directly or indirectly holds

positions or controls trading must be included with the positions held by such person. Such

positions accountability levels will apply to positions held by two (2) or more persons acting

pursuant to an expressed or implied agreement or understanding, the same as if the positions were 

held by a single person. The Exchange will follow the CFTC definition of aggregation and the

procedures for aggregating positions as described in CFTC regulations as applicable.

88.18. REPORTABLE POSITION AND TRADING VOLUME.

A. Pursuant to CFTC Regulation 15.03 and Part 17, any open position level in BRIXX

Residential Index Futures Contracts at the close of trading on any trading day

equal to, or in excess of, 25 contracts on either side of the market is required to be

reported to the CFTC. All such positions will be reported in a manner and form as

designated by the CFTC or the Exchange.

B. Pursuant to CFTC Regulation 15.04 and Part 17, a volume threshold account that

has trading volume in BRIXX Residential Index Futures Contracts during a single

trading day equal to, or in excess of, 50 contracts is required to be reported to the

CFTC. All such positions must be reported in a manner and form as designated by

the CFTC or the Exchange.

88.19. CONTRACT MODIFICATIONS.

Specifications are fixed for the duration of the contract month upon the first trade in that contract

month. However, a change in any Federal law, regulation, ruling, directive, or order that conflicts

with these Rules or specifications will become effective upon notice by the Exchange. Additionally,

the Board of Directors and/or the Exchange are granted the authority to change contract

specifications as it deems appropriate or necessary, or to conform to any other applicable law, rule, 

or regulation that conflicts with these Rules or specifications, for any unopened contract month, as

well as to change contract specifications for any contract month with open interest uponapproval by

the CFTC.

To maintain the purpose and viability of BRIXX Residential Index Futures Contracts, the Board of

Directors and/or the Exchange are granted the authority to change the MGEX Rules not directly

affecting contract specifications at any time and implement such change as may be determined.

88.20. EMERGENCIES.

In the event of an emergency, as determined by the Exchange, the Board of Directors will have the 
authority and power to follow the procedures described in MGEX Bylaw 2.4. The Board of Directors 

may delegate such powers as it deems necessary to the Executive Committee, Exchange

Officer(s), or other Exchange employees.

An emergency may include, but is not limited to, events of Force Majeure, interference,

interruptions, breakage of communication, accident, or any event or occurrence that is causing or

may cause disruption in the marketplace.

Additionally, in the event of an emergency, the Board of Directors or its delegate(s) will have the

authority and power to utilize such sources, means, or methods that it determines to be in the best

interest of the Exchange and the market.

The decision of the Board of Directors, Executive Committee, Exchange Officer(s), or other

Exchange employees as delegated, will be final and binding upon all parties. The Exchange will

not be liable to any party because of actions and decisions taken in good faith.

CHAPTER 89

BRIXX HOSPITALITY INDEX FUTURES

89.1. AUTHORITY.

Trading in BRIXXTM Hospitality Index (the “BRIXX Hospitality Index”) Futures may be conducted

under such terms and conditions as the Board of Directors and/or the Exchange will determine,

subject to the CEA and CFTC regulations promulgated thereunder.

89.2. SCOPE OF CHAPTER.

This Chapter is limited in its application to Futures trading on the BRIXX Hospitality Index.

Electronic trading, clearing, daily settlement, delivery of cash settlement, and any other matters not 

specifically covered in this Chapter will be governed by the MGEX Rules, or otherwise delegated

to the Exchange to establish policies and procedures that implement the MGEX Rules.In the event

the provisions of this Chapter conflict with any other MGEX Rules, those listed withinthis Chapter 

and as applicable to Futures Contracts on the BRIXX Hospitality Index supersede such MGEX 

Rules outside of this Chapter.

89.3. BRIXX HOSPITALITY INDEX: DEFINITION.

The BRIXX Hospitality Index generally consists of 15 (but not less than 10) publicly traded real

estate investment trusts / equity companies that are listed on a U.S. Securities Exchange. The

BRIXX Hospitality Index seeks to measure the price per room key of hotel space.

89.4. BRIXX HOSPITALITY INDEX: COMPONENT CHANGES.

The composition of the BRIXX Hospitality Index is determined at the time of its reconstitution, which 

occurs on the Wednesday before the third Friday of each quarter-end month (March, June,

September, and December). In the event such Wednesday is a holiday, the reconstitution will be

moved one day prior to Tuesday. The reconstitution will be effective after the close on the Friday 

following the reconstitution. If that Friday is a holiday, the reconstitution will be effective after the 

close on the preceding Business Day. No changes shall be made to the BRIXX Hospitality Index 

components except at the quarterly reconstitution unless a component entity closes a merger 

transaction, files for bankruptcy, or is delisted from its principal exchange (each, a “Corporate 

Action”). If a Corporate Action takes place prior to the quarterly reconstitution, the affected
component shall be replaced with a new eligible component prior to the next trading day.In the event 

there are no eligible components, the weighting of the removed component will be proportionally

redistributed over the remaining index components. A third party shall monitor andmake all BRIXX

Hospitality Index reconstitutions.

The component weights of the BRIXX Hospitality Index are adjusted and reset on a monthly basis

after the close of business on the third Friday of each month. In the event the third Friday of the

month is a holiday, the reset will be moved one day prior to Thursday. The newly calculated

component weights for the BRIXX Hospitality Index will be effective on the first Business Day

following the reset. This monthly reset adjusts the weights of the BRIXX Hospitality Index

components, but no changes, additions, or deletions are made to the individual components.

Should an index reconstitution result in the BRIXX Hospitality Index becoming a narrow-based

security index as defined in section 1a(35) of the CEA, the Exchange would follow applicable CFTC

regulations governing the transition period for trading purposes.
89.5. CONTRACT TRADING UNIT.

The unit of trading will be the value of BRIXX Hospitality Index Futures Contracts multiplied by one

hundred U.S. dollars ($100.00).

89.6. MINIMUM PRICE INCREMENT.

Except as provided in this Rule, the minimum price increment in BRIXX Hospitality Index Futures

Contracts will be 0.10 index points, which has a value of $10.00. All prices are quoted in U.S.

dollars.

89.7. TRADING MONTHS.

The months available for trading in BRIXX Hospitality Index Futures Contracts and the number of

months available for trade at one time will be determined by the Exchange.

89.8. TRADING DAYS AND HOURS.

A trading day is a Business Day on which trading of BRIXX Hospitality Index Futures Contracts is 

permitted. Trading days are determined by the Exchange. The Hours of Trading for BRIXX

Hospitality Index Futures Contracts will constitute a single trading session for a Business Day.

Unless otherwise specified by the Exchange in relation to Exchange holidays, the Hours of Trading 

for BRIXX Hospitality Index Futures Contracts will be 8:30 a.m. – 3:00 p.m. Monday – Friday

Central Time.

89.9. LAST TRADING DAY.

The last trading day ends at 3:00 p.m. Central Time for BRIXX Hospitality Index Futures Contracts

on the trading day immediately before the final settlement date, generally the Thursday preceding

the third Friday of a calendar month. Should the last trading day be a holiday, the last trading day

will be moved one day prior to Wednesday.

89.10. FINAL SETTLEMENT DATE.

The final settlement date for BRIXX Hospitality Index Futures Contracts is the third Friday of a

calendar month. Should the third Friday of the month be a holiday, the final settlement date will be

moved one day prior to Thursday, and the last trading day will be moved to Wednesday.

89.11. CASH SETTLEMENT.

BRIXX Hospitality Index Futures are cash settled. The final cash settlement price of the expiring

BRIXX Hospitality Index Futures Contract is determined by the official opening prices of the BRIXX

Hospitality Index components as traded on their primary markets. If a component stock ofthe BRIXX

Hospitality Index does not trade, then the price used for the component stock shall bethe prior

trading session’s closing price. The final cash settlement price of BRIXX Hospitality IndexFutures 

Contracts will be rounded to the nearest $.01. If the final cash settlement price is not available or

the normal settlement procedure cannot be utilized due to a trading disruption or otherunusual

circumstance, the settlement price will be determined in accordance with Exchange
procedures.

The Exchange makes no warranty, express or implied, as to the results of the final settlement

prices of the BRIXX Hospitality Index. Information included in, or used in the calculation of, such

indexes is obtained from sources believed to be reliable, but the Exchange makes no guaranteeas 

to its accuracy or completeness and will have no liability for any damages, claims, losses (including 

any indirect or consequential losses), expenses, or delays, whether direct or indirect, foreseen or 

unforeseen, suffered by any person arising out of any circumstance or occurrence relating to the 

index or its calculation, or arising out of any errors or delays in calculating or disseminating such

index.

89.12. DAILY SETTLEMENT PRICE.

The Exchange will calculate the daily settlement price for BRIXX Hospitality Index Futures

Contracts in the following manner for each Business Day. The settlement price will be consistent

with the minimum fluctuations of the contract.

A. The settlement price for the lead month will be determined by the volume-weighted

average of outright trades and applicable bids and offers made in the closing

period on the Electronic Trading System. For purposes of this Rule, the lead month

will be determined by the Exchange and is generally the most active month. The

lead month will change at the time when the daily volume and open interest in the

contract month following the current lead month is greater than the daily volume

and open interest in the lead month for two (2) consecutive Business Days. If there

is no volume-weighted average of the outright, then the last trade price is

compared to the current bid/ask. If the last trade price is outside of the bid/ask

spread, then the contract settles to the nearest bid/ask price. If the last trade price

is within the bid/ask spread or if a bid/ask is not available, then the contract settles

to the last trade price. If there is no last trade price available, then the prior

settlement is compared to the current bid/ask. If the prior settlement is outside of

the bid/ask spread, then the contract settles to the nearest bid/ask price. If the prior

settlement is within the bid/ask spread or if a bid/ask is not available, then the

contract settles to the prior settlement price.

B. All non-lead months are deferred contract months and settle based upon the

volume-weighted average of calendar spread transactions made in the closing

period on the Electronic Trading System. If there are no relevant calendar spreads,

bids and offers in those calendar spreads will be used in conjunction with

settlements from any months where a settlement price has been determined to

form an implied market in the contract to be settled. These implied markets, along

with the outright bid/ask market for the contract, will be used to derive the best

possible bid and best possible ask, and the contract will settle at the midpoint of

the bid/ask spread.

C. Notwithstanding the above, if such settlement price is not consistent with the

settlements in other months or with market information, or if the settlement was

inaccurately determined, a new settlement price may be established at a level

consistent with such other settlement prices or market information, and a written

record setting forth the basis for any modification of such settlement price will be

prepared.

D. The Exchange may in its sole discretion modify the settlement price prior to the
start of the day’s final clearing process if the settlement price arose from data entryerrors made by 

or on behalf of the Exchange, and modification of the settlement price is necessary to prevent 

market distortion. A written record will be prepared setting forth the basis for any modification. In

addition, the Exchange reserves theright to change which contract month is the lead month when, 

in its discretion, doing so is in the best interest of the marketplace. If any such change to the lead

month is made pursuant to this Rule, the Exchange shall provide notification to thepublic via the

MGEX website or other means it deems effective.

89.13. TRADING HALTS.

Trading halts for BRIXX Hospitality Index Futures Contracts can be triggered by volatility in the

S&P 500 Index, including the following market declines:

A. Level 1: 15-minute trading halt following a seven percent (7%) decline in the S&P

500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

B. Level 2: 15-minute trading halt following a thirteen percent (13%) decline in the

S&P 500 Index (unless decline occurs after 2:25 p.m. Central Time or 11:25 a.m.

Central Time in the case of early close).

C. Level 3: Trading halt for the remainder of the trading session following a twenty

percent (20%) decline in the S&P 500 Index, effective during all regular Hours of

Trading.

89.14. OFFSETS AND TRANSFER TRADES.

Positions reported as offsets and/or position change data must be reported to the Clearing House

each day by the established deadlines and in a manner that meets the provisions of MGEX

Resolution 2101.00.C. Positions that have been offset at the Exchange may not subsequently be

re-opened at the Exchange.

Except by same day trade activity, existing BRIXX Hospitality Index Futures positions in an expiring 

BRIXX Hospitality Index Futures Contract month may not be offset during the period beginning two 

(2) Business Days prior to the first Business Day of the expiring month and continuing through the

end of the settlement date of the expiring BRIXX Hospitality Index FuturesContracts (“Prohibition 

Period”). Clearing Members will be responsible for compliance with this requirement by their 

omnibus accounts. This prohibition also applies to transfer trades where nochange in ownership is 

involved when the date of execution or exercise of the position being transferred is not the same as

the transfer date. Such positions are required to be offset by trading.If such positions are carried on 

the books of different Clearing Members, the receiving Clearing Member is responsible for

compliance with this Rule.

At its sole discretion, the Department of Audits and Investigations may permit an offset during the

Prohibition Period via netting, transfer, or position adjustment. Such adjustments are permissible

to correct a bona fide clerical or operational error for an amount less than five percent (5.0%) of

the published open interest reported the same morning for which the offset will be reported by the

Clearing Member’s morning position reporting deadline. Moreover, such adjustments are only

permissible if the Department of Audits and Investigations reasonably believes the offset will not

adversely impact the market. Such permission does not prohibit the Department of Audits and
Investigations from investigating or taking disciplinary action for any alleged violation of the

Rulebook.

89.15. BLOCK TRADES.

For purposes of this Rule, Block Trades are defined as large transactions that are privately

negotiated off the Exchange’s Electronic Trading System and can only be entered into by Eligible

Contract Participants, as defined in Section 1a(18) of the Commodity Exchange Act.

Block Trades are permitted to be executed in BRIXX Hospitality Index Futures Contracts, provided

they are in accordance with the following provisions:

A. A Block Trade must be for a quantity that is at or in excess of the applicable

minimum threshold. Orders for different accounts may not be aggregated in order

to achieve the minimum transaction size. The Block Trade minimum threshold in

BRIXX Hospitality Index Futures Contracts is 500 contracts.

B. A Party shall not execute any order as a Block Trade for a customer unless such

customer has specified that the order be executed as a Block Trade.

C. The Block Trade is executed competitively at a price that is fair and reasonable

with consideration to the prevailing market price of BRIXX Hospitality Index

Futures Contracts. The minimum price increment for a Block Trade in BRIXX

Hospitality Index Futures Contracts is 0.10 index points.

D. Block Trades will not trigger conditional orders or otherwise affect orders in the

underlying BRIXX Hospitality Index Futures Contract traded on the Electronic

Trading System.

E. Clearing Members must ensure that each side of the Block Trade is reported to

the Exchange within fifteen (15) minutes (but in no case later than 3:15 p.m.

Central Time) and in the manner specified by the Exchange. The reporting of each

side of the Block Trade must include the: contract, contract month, price, quantity

of the transaction including quantities for each leg, buy/sell side, CTI and Regular

(House) or Segregated (Customer) indicators, account number, the respective

Clearing Members, the time of execution, and any other information required in

accordance with MGEX Rules.

F. Each counterparty to a Block Trade must have a separate and independent bonafide legal or business purpose for entering into the Block Trade.

G. Parties involved in the solicitation or negotiation of a Block Trade may not disclose

the details of such communication to any other party for any purpose other than to

facilitate the execution of the Block Trade.

89.16. POSITION ACCOUNTABILITY.

The position accountability levels for BRIXX Hospitality Index Futures Contracts are as follows:

A. Ownership or control at any time of more than 25,000 contracts net long or short

in all BRIXX Hospitality Index Futures Contracts Combined.
MINNEAPOLIS GRAIN EXCHANGE, LLC

400 South 4th Street | 130 Grain Exchange Building | Minneapolis, MN 55415

612-321-7101

mgex.com

B. Ownership or control of more than 15,000 contracts net long or net short in the

expiring BRIXX Hospitality Index Futures, effective at the start of Hours of

Tradingfor the Friday prior to the Final Settlement Date of the expiring BRIXX 

Hospitality Index Futures.

C. Ownership or control of more than 5,000 net long or net short in the expiring

BRIXXHospitality Index Futures, effective at the start of the Hours of Trading 

for the Business Day immediately preceding the Final Settlement Date of the 

expiring BRIXX Hospitality Index Futures.

89.17. AGGREGATION OF POSITIONS.

In determining whether any person has exceeded the position accountability levels, all positions

in accounts for which such person by power of attorney or otherwise directly or indirectly holds

positions or controls trading must be included with the positions held by such person. Such

positions accountability levels will apply to positions held by two (2) or more persons acting

pursuant to an expressed or implied agreement or understanding, the same as if the positions

were held by a single person. The Exchange will follow the CFTC definition of aggregation and

the procedures for aggregating positions as described in CFTC regulations as applicable.

89.18. REPORTABLE POSITION AND TRADING VOLUME.

A. Pursuant to CFTC Regulation 15.03 and Part 17, any open position level in

BRIXXHospitality Index Futures Contracts at the close of trading on any trading

day equalto, or in excess of, 25 contracts on either side of the market is 

required to be reported to the CFTC. All such positions will be reported in a 

manner and form asdesignated by the CFTC or the Exchange.

B. Pursuant to CFTC Regulation 15.04 and Part 17, a volume threshold account

thathas trading volume in BRIXX Hospitality Index Futures Contracts during a 

single trading day equal to, or in excess of, 50 contracts is required to be 

reported to theCFTC. All such positions must be reported in a manner and form

as designated bythe CFTC or the Exchange.

89.19. CONTRACT MODIFICATIONS.

Specifications are fixed for the duration of the contract month upon the first trade in that contract

month. However, a change in any Federal law, regulation, ruling, directive, or order that conflicts

with these Rules or specifications will become effective upon notice by the Exchange. Additionally,

the Board of Directors and/or the Exchange are granted the authority to change contract

specifications as it deems appropriate or necessary, or to conform to any other applicable law,

rule, or regulation that conflicts with these Rules or specifications, for any unopened contract

month, as well as to change contract specifications for any contract month with open interest upon

approval by the CFTC.
MINNEAPOLIS GRAIN EXCHANGE, LLC

400 South 4th Street | 130 Grain Exchange Building | Minneapolis, MN 55415

612-321-7101

mgex.com

To maintain the purpose and viability of BRIXX Hospitality Index Futures Contracts, the Board 

of Directors and/or the Exchange are granted the authority to change the MGEX Rules not 

directly affecting contract specifications at any time and implement such change as may be

determined.