To become a member of ICE Futures Europe, a candidate must complete an application form, undergo a due diligence review and execute an agreement stating he will adhere to all Exchange regulations. All futures trades executed on the ICE platform are monitored by or attributable to responsible individuals who are accountable for the trading activities of both the member and the member's customers. They are also responsible for the conduct of trades executed in the member's name.
There are three categories of membership that determine the type of business which members may conduct. In addition to Membership category, a member's status as a clearer will also impact the type of business they may conduct.
Transact own** business and business for clients (whether such clients are other Members or non-Members).
Transact own** business or affiliate business only.
To transact own business and business for other Individual Participants (provided such business is only allocated to the relevant Individual Participant requesting the execution).
*General Participant and Trade Participant categories of membership must either be clearing members or, as non-clearing members, must enter into a clearing agreement with a General Participant who is a clearing member. An Individual Participant cannot be a clearing member and, as a non-clearing member, must enter into a clearing agreement with a General Participant who is a clearing member.
**It is understood that "Own" business is business transacted solely for the benefit of that Member, a wholly owned subsidiary of that Member, the parent company of that Member, or a company in that Member's group of companies. Such business undertaken by a Member on behalf of another group company must not in turn be business undertaken on behalf of a third party.
The Membership criteria, which an applicant must meet at the outset and must continue to meet as a Member, are set out below. They are also detailed in the ICE Futures Europe Regulations and Members are expected to inform ICE Futures Europe of failure or anticipated failure to meet the membership criteria.
An Applicant for ICE Futures Europe Membership must:
- satisfy ICE Futures Europe that it is fit and proper;
- be able to demonstrate, to the satisfaction of the Exchange, that the applicant has sufficient systems and controls in place to ensure that all the Member’s Representatives who may act on its behalf or in its name in the conduct of business on the ICE Platform are fit and proper, suitable, adequately trained and properly supervised to perform such functions;
- maintain a properly established office (in a location which is acceptable to the Directors as they may determine in their absolute discretion) for the conduct of its business on the ICE Platform;
- satisfy the minimum financial standing requirements for the time being stipulated by the Directors in relation to the relevant category of membership, supporting its claim to do so by copies of its last three years of audited accounts (or in the case of an ICE Block Member, a copy of its last audited accounts) and by a copy of its latest audited accounts from time to time as they become available, or such other evidence as the Directors may require;
- be party to an Electronic User Agreement, which is in full force and effect, in the form prescribed by the Directors from time to time for use by the Member of the ICE Platform at the address(es) notified to the Exchange;
- be able to access the Trading Server via a front end application which meets the Exchange's conformance criteria;
- if it is to transact business (i) in respect of its own account, be a Clearing Counterparty; (ii) in respect of the account of a client which is not a Sponsored Principal, be a Clearing Member; (iii) in respect of the account of a client which is a Sponsored Principal, be a Sponsor or ensure appropriate arrangements are in place between it and the relevant Sponsor; or (iv) if it is not a Clearing Counterparty in the case of (i) or a Clearing Member in the case of (ii), be a party to or satisfy the Directors that it will become a party to a clearing agreement with a Clearing Member, in either case in respect of all types of Contract covered by its trading and/or clearing permissions or privilege under Rule B.6 from time to time, in each case as permitted by the Regulations;
- hold all necessary licences, authorisations and consents, or benefit from available exemptions, so as to allow it to carry on business as a Member on the ICE Platform, including the ICE Block Facility, in accordance with all applicable laws and regulations; and
- be able to demonstrate, to the satisfaction of the Exchange, that the applicant is permitted under applicable laws and regulations, these Regulations and any notices posted on the Market, to engage in transactions in relevant Contracts, in particular, in respect of restrictions or requirements imposed by the Exchange in respect of activities in specific jurisdictions.
In order to trade on the electronic platform the Member must register at least one Responsible Individual (RI) with ICE Futures Europe in accordance with ICE Futures Europe Trading Procedures. Responsible Individuals must follow a set of guidelines that govern trading on the Exchange. The full set of requirements for Responsible Individuals should be reviewed by those wishing to register as an RI. Please refer to the Responsible Individual Requirements here.
All UK Members conducting regulated activity in the UK, as defined by Financial Services and Markets Act 2000 ("FSMA"), must be authorised by either the Financial Conduct Authority (“FCA”) or the Prudential Regulatory Authority (“PRA”) unless exempted under the FSMA.
Individuals conducting regulated activity in the UK must, where relevant, be registered with either the FCA or the PRA.
Overseas Members must have the appropriate regulatory status in the jurisdiction of their incorporation.
All Members must check that ICE Futures Europe has the relevant regulatory status in each jurisdiction from which they wish to trade ICE Futures Europe Contracts on the ICE Platform.
Where a Member registers a Responsible Individual located in the U.S. who will be executing client business, that Responsible Individual must be employed by a Futures Commission Merchant.