Self-Match Prevention (SMP)

The self-match prevention (SMP) functionality service allows NZX Trading Participants to prevent matching of orders placed by their firm for accounts with common underlying ownership. NZX Trading Participants are assisted through exchange technology to manage their obligations with relation to wash trades.

NZX is making enhancements to the optional SMP service to provide additional functionality that assists NZX Trading Participants through exchange technology to manage their obligations with relation to wash trades. More information can be found here.

SMP Documentation

• SMP Factsheet
• SMP Functionality Overview
• Practice Note
• SMP Fees

For more information please contact: markets@nzx.com

How to enable SMP

NZX Trading Participants can enable SMP by completing the below SMP Service Request Form and submitting this via the NZX Participant Portal.

• SMP Service Request Form
• SMP Whitelist Template

More information on the Participant Portal can be found here.

NZX Self-Match Prevention - Frequently Asked Questions

Q: What is self-match prevention?

A: Functionality for NZX Trading Participants to identify and restrict orders which result in no change in beneficial ownership.

Q: What are the benefits of self-match prevention?

A: The benefits of self-match prevention include:

• Trading Participants are enabled to manage their risk with relation to wash trades
• Removes technical challenges faced by market makers
• Increases market integrity

Q: Is self-match prevention compulsory?

A: No, self-match prevention is an optional, opt-in service for NZX Trading Participants

Q: How do I enable SMP?

A: SMP is enabled by NZX Trading Participants via the Participant Portal. Access to the Participant Portal is restricted to compliance managers and officers of each NZX Participant.

Q: What is a Participant whitelist?

A: Trading Participants can specify a whitelist of broker references and/or CSNs to be excluded from self-match prevention checks.

Q: How do I manage my whitelist?

A: Trading Participant whitelists can be managed within the Participant Portal. Access to the Participant Portal is restricted to compliance managers and officers of each NZX Participant.

Q: Will self-match prevention be available in both the cash (equity and debt) market and derivatives market?

A: Yes, self-match prevention is available to both markets.