TRADING RULEBOOK IN THE AMMAN STOCK EXCHANGE COMPANY

Trading Rulebook in the Amman Stock Exchange Company[i]

Issued in Compliance with the provisions of Article (35) of Directives of Trading Securities at the Amman Stock Exchange Company, as adopted by the decision of the Board of Directors No. (2/2021) dated 25/02/2021, and amended by the decisions of the Board of Directors No. (28/2021) dated 10/06/2021 and No. (44/2022) dated 28/07/2022

Article 2

1. Trading at the Exchange shall take place through Continuous Pricing.
2. The trading session of the Continuous Pricing Set will comprise the following phases:
3. Closed
4. Call
5. Uncrossing
6. Continuous Trading
7. Block Trades
8. Closed
9. Inaccessible

Article 3

1. Daily allowed Price Limits (Thresholds) are calculated based on the following percentages of the Reference Price of the traded securities at the Exchange:

2. If the calculated minimum and maximum Price limits for certain security are equal to its Reference Price, then the minimum and maximum Price Limits will be amended by one tick size above and below the Reference Price.
3. Notwithstanding Paragraph (b) of this Article, the minimum Price Limit of the security must not be less than the tick size specified for it by the provisions of Article (16) herein.
4. Any entered Buying Order at a price higher than the maximum Price Limit and Selling Order at a price lower than the minimum Price Limit will be automatically rejected by the ETS.

Article 4

1. Trading Hours and Phases for listed securities shall be as follows:

2. Trading Hours and Phases for unlisted securities shall be as follows:

Article 5

1. Orders entered into the ETS are queued in the Order Book according to the price and time priority rule, and they are given serial numbers by the ETS.
2. Orders are matched according to the priority rule mentioned in paragraph (a) of this article.
3. Entered order loses its priority in the Order Book in case of:

1- decreasing the price of the buy order or increasing the price of the sell order, or

2- Increasing the entered quantity, or

3- amending the time validity.

Article 6

1. Buying and Selling orders entered into the ETS must include; quantity, code of security, price, Reference Number, time validity, and all information deemed essential for the execution.
2. The Limited Price Order represents the highest execution price accepted by the buyer and the lowest execution price accepted by the seller.
3. During the Continuous Trading Phase, if a Buying Order is entered at a price higher than the best price on the sell side, or a Selling Order is entered at price lower than the best price on the buy side, then the incoming order will be executed on the price available on the opposite side.
4. During the Continuous Trading Phase, if a Buying or Selling Order is entered with a quantity that can be executed at more than one price available on the opposite side, then the incoming order will be executed on the prices available on the opposite side based on their priority rule until the quantity is entirely executed. If the order is not fully executed, the remaining quantity will be queued in the Order Book at the entered price.
5. Limited Price Orders entered during the Continuous Trading Phase, will be executed either entirely or partially according to the orders on the opposite side. In case they are not executed, the orders will be queued in the Orders Book according to the price priority, so that they will be queued in descending order in case of Buying Orders and an ascending order in case of Selling Orders and according to the time priority when prices of more than one order are equal.

Article 7

Cross Order should be entered during the Continuous Trading phase at a price that falls between the best buying price and the best selling price, such an order will be executed immediately.

Article 8

1.  In terms of time validity on the ETS, orders will be categorized as follows:
2. Immediate or Cancel order (IOC): an order that is allowed to be entered during the Continuous Trading Phase to execute the largest possible quantity and eliminate any remaining quantity.
3. Fill or Kill Order (FOK): an order that is allowed to be entered during the Continuous Trading Phase to execute the entire quantity upon order entry, otherwise eliminated.
4. Day order: an order that is valid for one day only.
5. Good till date (GTD) order: an order that is valid till a fixed date which should not exceed the time validity stipulated in Sub-paragraph (6) in this Article.
6. Good till Month (GTM) order: an order that is valid till the end of the current month.
7. Good till Cancelled (GTC) order: an order that is valid till canceled.
8. The order which carries a time validity and has not been executed within the time specified for its execution, will be eliminated.
9. Notwithstanding Paragraph (a) of this Article, the time validity of orders entered into ETS and still active, shall be considered expired after the end of the last trading session of the calendar year.

Article 9

1. Orders entered during the Call Phase are queued on the Order Book without execution, and in case of matching between the prices of Buying and Selling Orders, the ETS calculates a TOP after each entry, amendment, or cancellation of orders.
2. At the Uncrossing phase, the executable quantities of the Buying and Selling Orders will be executed at the TOP available at that moment.
3. Upon the end of the Uncrossing Phase, trading will take place continuously until the end of the Continuous Trading phase.
4. Broker can cancel its active orders during all phases, including the Closed Phases except for the Uncrossing Phase.

Article 10

1. Trading should not be conducted on the Security if it is:
   1. Suspended.
   2. Reserved.
   3. Forbidden.
2. Entering orders for a security will be forbidden temporarily during the cancelation of any transaction during the trading session.
3. The security will be reserved and entered into the Call Phase where shall be permissible to enter, amend or cancel orders without any execution, whenever it deems necessary.

Article 11

1. The TOP will be calculated based on the following criteria:
   1. The price that achieves the largest executable trading quantity, and if there is more than one price that fulfills this condition, the criterion in Sub-paragraph (2) of this Article shall apply.
   2. The price that achieves the minimal non-executable trading quantity, and if there is more than one price that fulfills this condition, the criterion in Sub-paragraph (3) of this Article shall apply.
   3. The closest price to the Reference Price of the security.
2. When calculating the TOP, all quantities in the Order Book are taken into consideration including the hidden quantities
3. At the Uncrossing phase, the ETS matches entered Buying and Selling Orders where all Buying Orders at prices above the TOP and all Selling Orders at prices below the TOP including their hidden quantities will be fully executed.
4. Orders entered at a price equal to the TOP could be executed either entirely or partially.

Article 12

1. During the Continuous Trading Phase, it shall be permissible to set the minimum quantity in the Limited Price Order to be immediately executed upon entry.
2. If the minimum quantity set in the order is not executable upon order entry, the order will be automatically eliminated by the ETS. If such minimum quantity is executed, the remaining quantity will be queued at the price entered in the order.

Article 13

1. To accept an Iceberg Order, it should be a Limited Price order, and the quantity disclosed in the order book should not be less than 5% of the total quantity of the order or ten times the lot size, whichever is greater.
2. Upon the total execution of the disclosed quantity, a part of the remaining hidden quantity equals the disclosed quantity set in the order will be displayed on the order book as a new order unless the remaining quantity is less than the disclosed quantity, then the remaining quantity is completely displayed on the Order Book.
3. No part of the hidden quantity will be displayed on the Order Book until the disclosed quantity has been fully executed.
4. In case of executing a quantity greater than the disclosed quantity at one time, the newly displayed quantity shall equal the disclosed quantity set in the order.
5. Subject to the provisions of Paragraphs (A) and (B) of this Article, when a part of the disclosed quantity is executed, the remaining quantity is queued at the entry price.
6. The ETS does not allow modification of disclosed quantity.

Article 14

1. Stop limit orders could be entered during the Call and Continuous Trading Phases. This type of order includes two prices; the trigger price to activate the order, and the limited price set in the order for execution, which will be displayed in the Order Book.
2. When entering a Stop-Limit Order during the Call Phase, the following must be fulfilled:
3. Buying Order: the trigger price must be higher than the previous closing price of the security.
4. Selling Order: the trigger price must be lower than the previous closing price of the security.

3. When entering a Stop Limit order during the Continuous Trading Phase, the following must be fulfilled:
4. Buying Order: the trigger price must be higher than the last traded price of the security or its previous closing price in case it has not been traded during the trading session.
5. Selling Order: the trigger price must be lower than the last traded price of the security or its previous closing price in case it has not been traded during the trading session.

4. In all cases, the limited price in the Stop Limit Order which will be displayed in the order book must be:
5. Buying Order: higher than or equal to the trigger price
6. Selling Order: less than or equal to the trigger price.

5. A Stop Limit order entered during the Call Phase is activated immediately after the Uncrossing phase. And for Stop Limit Orders to be activated during the Continuous Trading Phase, the following is required:

1. Buying Order: the last traded price of the security must be higher than or equal to the trigger price.
2. Selling Order; the last traded price of the security must be lower than or equal to the trigger price.

Article 15

1. Block Trades are executed through ETS directly after the end of the Continuous Trading Phase.
2. The minimum value of the Block Trade should be Two Hundred Thousand Jordanian Dinars.
3. The Reference Price of the Block Trade is the Closing Price of the security.
4. Daily Allowed Price Limits for Block Trades are calculated based on the following percentages of the Reference Price referred to in Paragraph (C) of this Article as follows:

Article 16

1. Listed securities priced in Jordanian dinars have a tick size of 0.01 dinar and their multiples.
2. Listed securities priced in US dollars have a tick size of 0.01 dollar and multiples thereof.
3. The type of order which has been entered into ETS cannot be modified.
4. The retention period of the clients’ authorizations by the Brokers, which mentioned in Article (5/A/5) of the Trading Directives, shall be ten years.
5. The retention period of the voice recordings mentioned in Article (34) of the Trading Directives is one week.