On Aug. 26, ICE ENDEX issued circular on amendment of market rules.
ICE ENDEX published its new Circular E25/016 entitled Amendment of Market Rules, which was provided with Annex 1 - Amendment of Market Rules for QBOE designation.
Circular Summary
Purpose of circular is to advise members ICE ENDEX intends to amend Market Rules, with effect from Sep. 9, 2025, subject to regulatory review, for energy derivatives.
Amendments to Market Rules include new Article I-9 (Obligations of Members) and Article I-12 (Disciplinary Sanctions) related to compliance by Members with certain US Federal income tax information reporting and information provision requirements.
The specific amendments are shown in the mark-up of the relevant sections of the Market Rules, enclosed as Annex 1 to the circular, and that form part of the changes.
Amendments to Market Rules are required by US Internal Revenue Service (IRS) as a prerequisite for ICE Endex to obtain a favorable designation as a so-called qualified board or exchange (QBOE) under section 1256(g)(7)(C), Internal Revenue Code 1986.
QBOE designation by the IRS provides certain US Federal income tax advantages to U.S. Members of ICE Endex in respect of certain contracts traded on the exchange.
It should be noted that the proposed amendments are broadly similar to provisions found in the rule books of other non US exchanges which already have QBOE status.
ICE ENDEX asks members to ensure that all the appropriate members of staff within their your organization as well as all clients are advised of the content of this circular.
Effectiveness
The changes to the wording of Market Rules now apply with effect from Sep. 9, 2025.
