Document ID: chunk:federal_register_of_legislation:F2023C00208:reg:17:p7
Version: federal_register_of_legislation:F2023C00208
Segment Type: reg
Provision Reference: reg 17 (pt 7/14)
Character Range: 16874–19774

500 ETF; and
            (c) the Betashares NASDAQ 100 ETF.
            approved ETO means an exchange traded option that is exercisable:
                (a)   only on one specific date; and
                (b)   in respect of an interest in an underlying approved ETF.
            ETO (or exchange traded option) means an option registered with:
            (a) ASX Clear Pty Limited; or
            (b) ASX Clear (Futures) Pty Limited.
            ETF (or exchange traded fund) has the same meaning as in subsection 1020B(4D).
            market maker means a person who holds an Australian financial services licence that covers making a market in a financial product or is exempt from the requirement to hold such a licence for providing that financial service.".

7 Exchange traded options: sales effected by exercising options

    Part 7.9 of the Act applies in relation to section 1020B products as if section 1020B of the Act were modified or varied by, after subsection (4), inserting the following subsections:
            "Exchange traded options: sales effected by exercising options
            (6A) Subsection (2) does not apply to a person (option holder) that holds an option registered with ASX Clear Pty Limited in relation to a sale of a security (the shorted product) or managed investment product (the shorted product) where the transaction effecting the sale of the shorted product is the result of the exercise of the option by the option holder.

            (6B) The option holder must give to ASIC in the form required by ASIC particulars of the holder's short position in relation to the shorted product as at:
                (a) where the nominated time is, or corresponds to a time that is, on or before 11:59 pm in Sydney, New South Wales—the nominated time 3 reporting days before the day the particulars must be given under subsection (6C); and
                (b) otherwise—the nominated time 2 reporting days before the day the particulars must be given under subsection (6C).
            (6C) The option holder must give the particulars about the short position:
                (a) where the nominated time is, or corresponds to a time that is, on or before 11:59 pm in Sydney, New South Wales—on or before 9 am in Sydney, New South Wales on the third reporting day after the exercise of the option that causes the short position to occur;
                (b) otherwise—on or before 9 am in Sydney, New South Wales on the second reporting day after the exercise of the option that causes the short position to occur; and
                (c) in either case—on or before 9 am in Sydney, New South Wales on each subsequent reporting day as long as the holder has a short position.
            (6D) Paragraph (6C)(c) applies whether or not the particulars about the short position have changed from that given on the previous day.
            (6E)  The option holder