NEW Market Making Incentive Program

As part of our ongoing commitment to develop the full Government of Canada yield curve, the Montréal Exchange (MX) is pleased to announce a new market making incentive program (the "Market Making Program").

Benefits

• Fixed compensation: $150,000 per year, per market maker, for a two-year period, paid monthly ($12,500 per month).
• Variable compensation: MX will redistribute on a prorated basis an amount equal to 20% of its net trading revenues (net of rebates) for the designated fixed income futures contracts between the selected market makers (for the duration of the contract).
• Full waiver of execution and clearing fees.

Designated Futures Contracts

• Red (months 5 – 8) and Green (months 9 – 12) Three-Month Canadian Banker's Acceptance Futures (BAX)
• Two-Year Government of Canada Bond Futures (CGZ)
• Five-Year Government of Canada Bond Futures (CGF)

• 30-Day Overnight Repo Rate Futures (ONX)
• 30-Year Government of Canada Bond Futures (LGB)

Although designated futures contracts are specified above, MX reserves the right to accept a proposal to quote part of the designated contracts. As such, MX encourages all proposals to be submitted. At the request of participants, the proposed timeframe is subject to change and may be extended for those interested in submitting a proposal, but who require additional time.

Payment of the fixed compensation and profit sharing will be dependent on continuous market making over the entire relevant period. Detailed information can be found in the "Request for Proposal for the Market Making of Fixed Income Futures Contracts" document.

If you are interested in becoming a market maker or for more specific details on the Market Making Program, please contact Joanne Elkaim, Director, Fixed Income Derivatives, by e-mail at
jelkaim@m-x.ca.

Additional information

• Yield Curve Project – Market Makers Circular
• Request for Proposal for the Market Making of Fixed Income Futures Contracts
• Market Making Program Proposal Form
• MX 2011 Futures and Options Summary Guide