Supervisory Body

Financial Services Board

Website : www.fsb.co.za

Name of Clearing & Settlement Organization

STRATE - Settlement house for equities and spot bonds
SAFCOM - Clearing house for derivatives

Settlement Cycle

T + 5 in Equity Market
T + 3 in Spot Bond Market, all JSE derivatives markets (including physical commodities settlement cycle T+1)
 

Name of Central Securities Depository

STRATE (CSD)

Website : www.strate.co.za

 

Commissions on Transactions levied by Exchange

 

 

 

 

Taxes on Dividends, Interests

NA 

2011 Share ownership thresholds (%)

Section 140A of the Companies Act 61 of 1973 imposes an obligation on registered holders of securities in a company (“registered shareholders”) who are not the beneficial owners of the interests in such securities to disclose, at three month intervals, to the issuer of the securities the identity of the persons on whose behalf they hold such securities (“the beneficial owners”) and the number and class of securities issued by that issuer held on behalf of each such person.

Section 140A of the Companies Act 61 of 1973 also imposes a duty on the issuer to publish, in its annual financial statements, a list of the persons who hold beneficial interests equal to or in excess of 5% or more of the total number of securities issued by the company together with the extent of those beneficial interests.

The acquisition of securities in a listed company (whether by purchase or subscription) will have to be disclosed to the Securities Regulation Panel (“SRP”) and will have to comply with the provisions of the SRP Code on Takeovers and Mergers (“the Code”) as soon as the aggregate shareholding in the company by the shareholder (acting alone or in concert with another) allows it to exercise, or cause to be exercised, 35% or more of the voting rights at meetings of that company. The Code also requires that a mandatory offer be made to the other shareholders once the 35% threshold is reached, unless an exemption or waiver has been granted. In addition, after the 35% threshold has been reached, and until 50% of the voting rights have been acquired, disclosure must also be made to the SRP in relation to the acquisition in any period of 12 months of securities carrying more than 5% of the voting rights of the company. After 50% has been acquired, then disclosure must be made every time another 5% of the voting rights of the company is acquired.

 

Short selling (Yes / No)

Covered Short Selling only

 

Short selling conditions (if any)

Short Selling in the Equity Market is only permitted if a scrip lending agreement is in place. No ‘naked’ Short Selling is permitted in the JSE Equity Market.

 

EQUITIES MARKET

 

TradElect Trade Transaction Leg (either buy or sell)	ZAR Excluding VAT
Equities
Percentage of value of each trade leg 0.0055%	Variable
Subject to Floor Limit of Each Trade Leg	R 4.00
Subject to Ceiling Limit of Each Trade Leg	R 20.00
Clearing & Settlement
Percentage of value of each trade leg 0.0026%	Variable
Subject to Floor Limit of Each Trade Leg	R 2.59
Subject to Ceiling Limit of Each Trade Leg	R 10.50
ALTx
Percentage of value of each trade leg 0.0055%	Variable
Subject to Floor Limit of Each Trade Leg	R 3.64
Subject to Ceiling Limit of Each Trade Leg	R 8.20
Clearing & Settlement
Percentage of value of each trade leg 0.0040%	Variable
Subject to Floor Limit of Each Trade Leg	R 1.29
Subject to Ceiling Limit of Each Trade Leg	R 7.91
Warrants
Percentage of value of each trade leg 0.0055%	Variable
Subject to Floor Limit of Each Trade Leg	R 2.74
Subject to Ceiling Limit of Each Trade Leg	R 6.17
Clearing & Settlement
Percentage of value of each trade leg 0.0040%	Variable
Subject to Floor Limit of Each Trade Leg	R 1.29
Subject to Ceiling Limit of Each Trade Leg	R 7.91
Discounts and Discount Thresholds
20 % Percentage discount on each trade leg fee when discount threshold is reached
R15 billion discount threshold based on the accumulated value of central order book trades (AT + UT - CT)

 

EQUITY DERIVATIVES MARKET

Index Futures – Central Order Book

• A value based fee structure.

• Charged at 0.10 of a Basis point (i.e. 0.00001), calculated off the end-of-day Index Spot Price

• Formula = Spot Close x Nominal x Basis Points x Quantity Traded = Trading Fees

Index Options – Central Order Book

• A value based fee structure.

• Fees calculated off the Delta of the traded option

• Options charged at Delta times 0.10 of a Basis point (i.e. Delta * 0.00001)

• A Maker-Taker (passive/aggressor) pricing model, where price makers are rewarded for providing liquidity.

-       Maker of the price = Zero fees to be charged

-       Taker of the price = Central order book fees to apply

• Formula = Spot Close x Nominal x Basis Points x Quantity Traded x Delta = Trading Fees

Index Futures – Reported Trades 

• A value based fee structure.

• Charged at 0.12 of a Basis point (i.e.  0.000012), calculated off the end-of-day Index Spot Price

• Formula = Spot Close x Nominal x Basis Points x Quantity Traded = Trading Fees

Index Options – Reported Trades

• A value based fee structure.

• Fees calculated off the Delta of the traded option

• Options charged at Delta times 0.12 of a Basis point (i.e. Delta * 0.000012)

• Formula = Spot Close x Nominal x Basis Points x Quantity Traded x Delta = Trading Fees

 Single Stock Futures (including IDX and ADX) – Central Order Book

• 1 Basis point (i.e. 0.0001), calculated off the end-of-day SSF Spot Price

• A Cap of R120 of the nominal underlying value.

Note: There is no Cap on IDX and ADX

• A Floor of R0.01 per contract

• A Maker-Taker (passive/aggressor) pricing model, where price makers are rewarded for providing liquidity.

-       Maker of the price = Zero fees to be charged

-       Taker of the price = Central order book fees to apply

• Formula = Spot Close x Nominal x Quantity Traded x Basis Points = Trading Fees 

Single Stock Options (including IDX and ADX) – Central Order Book

• Fees calculated off the Delta of the traded option

• Options charged at Delta times 1 of a Basis point (i.e. Delta * 0.0001)

• A Cap of R120 of the nominal underlying value

Note: There is no Cap on IDX and ADX

• A Floor of R0.01 per contract

• A Maker-Taker (passive/aggressor) pricing model, where price makers will be rewarded for providing liquidity.

-       Maker of the price = Zero fees to be charged

-       Taker of the price = Central order book fees to apply

• Formula = Spot Close x Nominal x Quantity Traded x Basis Points x Delta = Trading Fees

Single Stock Futures (Including IDX and ADX) – Reported Trades

• Charged at 1.75 of a Basis point (i.e. 0.000175), calculated off the end-of-day SSF Spot Price

• A Cap of R120 of the nominal underlying value

Note: There is no Cap on IDX and ADX

• A Floor of R0.01 per contract

• Formula = Spot Close x Nominal x Quantity Traded x Basis Points = Trading Fees

Single Stock Options (Including IDX and ADX) – Reported Trades

• Fees calculated off the Delta of the traded option

• Options charged at Delta times 1.75 of a Basis point (i.e. Delta * 0.000175)

• A Cap of R120 of the nominal underlying value

Note: There is no Cap on IDX and ADX

• A Floor of R0.01 per contract

• Formula = Spot Close x Nominal x Quantity Traded x Basis Points x Delta = Trading Fees

Can-Do Futures and Options Pricing Model

Can Do fee structure

 

Please find at: http://www.jse.co.za/Libraries/Can-do_Options_-_Booking_Fee_Schedule/Booking_Fee_Schedule.sflb

 

COMMODITY DERIVATIVES MARKET

 

Futures (per contract incl VAT) :

	Commissions
White and Yellow Maize (100 tonnes)	R12 per contract, Delivery Fee R200 per contract
White and Yellow Maize 2nd Grade (100 tonnes)	R12 per contract, Delivery Fee R200 per contract
Wheat (50 tonnes)	R6 per contract, Delivery Fee R100 per contract
Sunflower seed (50 tonnes)	R6 per contract, Delivery Fee R100 per contract
Soya (25 tonnes)	R3 per contract, Delivery Fee R50 per contract
Sorghum (100 tonnes)	R12 per contract, Delivery Fee R200 per contract
Corn	R15 per contract
Soybean	R15 per contract
Soybean Meal	R15 per contract
Soybean Oil	R15 per contract
Wheat (CBOT)	R10 per contract
Gold	R13 per contract
Platinum	R15 per contract
Crude Oil	R10 per contract
Copper	R10 per contract
Silver	R13 per contract

Options (per contract incl VAT) :

	Commissions
White and Yellow Maize (100 tonnes)	R6 per contract
White and Yellow Maize 2nd Grade (100 tonnes)	R6 per contract
Wheat (50 tonnes)	R3 per contract
Sunflower seed (50 tonnes)	R3 per contract
Soya (25 tonnes)	R1.50 per contract
Sorghum (100 tonnes)	R6 per contract
Corn	R10 per contract
Soybean	R10 per contract
Soybean Meal	R10 per contract
Soybean Oil	R10 per contract
Wheat (CBOT)	R6  per contract
Gold	R8 per contract
Platinum	R10 per contract
Crude Oil	R6 per contract

 

 

BOND MARKET

 

Spot Market

 

Two cost structures exist in this model due to the two offerings available for booking/trading bonds (spot and repos) at the JSE.

 

Report only trades will be booked on the Nutron platform and incur the following transaction processing costs:

 

TRANSACTION PROCESSING – REPORT ONLY TRADING (NUTRON) Tier, based on monthly nominal traded / reported Fixed fee (per trade leg) SPOT trades (per million nominal) REPO & other trades (per million nominal) Min Max 0 R5 billion R10(1) Free Free > R5 billion R200 billion(3) R24(1) R1.20(1) (2) R0.80(1) (2)   (1) Trades with a nominal size of R1 000 000 and smaller are free of both the fixed trade leg fee and variable per million fee

(2) With a maximum limit of R1 500 per trade leg

(3) Monthly nominal traded above R200 billion does not incur a fixed fee per trade, and is charged at 30c per million irrespective of trade type (spot or repo) (4) Interdealer brokers (IDBs) are only charged on one trade leg per transaction (5) If an member trades less than R200bn nominal in a month, but processes more than 5 000 trade legs in that month, they will receive a 50% rebate of the total transaction processing fee due in that month

(6) An member’s transaction processing fees are capped at R180 000 for the month if and when transaction processing fees calculated in accordance with the above model exceed R180 000 in that month

 

The above transaction processing fee is charged monthly in respect of Report Only bond trades executed and reported to the JSE Ltd on the Nutron platform.

 

Central Order Book trades will be booked on the Nutron platform and incur the following transaction processing costs:

 

TRANSACTION PROCESSING – CENTRAL ORDER BOOK (Nutron)
Based on monthly nominal traded		Fixed fee	SPOT trades (per million nominal)	REPO & other trades
Min	Max
0	Unlimited	0	R 2.00	R 2.00

 

(1)   No maximum limit per trade leg

(2)   All members have the same fee structure in this model

(3)   An member’s transaction processing fees are not capped in this model

(4)   All fees are exclusive of 14% VAT

The above transaction processing fees are charged daily in respect of spot bond and repo Central Order Book trades executed on the Nutron platform.

 

Derivative Market

 

Interest rate derivatives will be booked on the Nutron platform.

 

TRANSACTION PROCESSING - INTEREST RATE DERIVATIVES
Contract	Nominal	Trading Fee per contract
Bond futures	R 100,000	R 0.66
Index futures	Index level*10 000	R 6.58
Jibar future	R 100,000	R 0.22
Options	1 option on 1 future	R 0.66

 

(1)   Bond futures listed on all liquidity government bonds

(2)   All the above fees are exclusive of 14% VAT

(3)   Fees incurred irrespective if opening or closing position

(4)   One option contract is based on one futures contract

(5)   All members have the same fee structure in this model

(6)   A member’s transaction processing fees are not capped in this model

 

CURRENCY DERIVATIVES MARKET

 

Currency Futures Trading Costs

The sliding scale fee structure for Currency Futures: (including “Any-day” Expiries):

Sliding scale band (per deal)	Fee per contract
1 - 999	R1,28
1,000 - 4999	R1.10
5,000 - 7,499	R0,91
7,500 - 9,999	R0,60
10,000 and above	R0,45

The fees are capped at R39,900 per deal to entice bigger contracts.
*All the above fees include VAT of 14%. 

Maxi Dollar/Rand Currency Futures Trading Costs

The Sliding Scale Fee Structure for the Maxi Dollar/Rand Currency Future: ($100,000)

Sliding scale band (per deal)	Fee per contract
1 - 9	R128
10 - 49	R110
50 - 74	R91
75 - 99	R60
100 and above	R45

The fees are capped at R39,900 per deal to entice bigger contracts.
*All the above fees include VAT of 14%.

Currency Options Trading Costs:

The sliding scale fee structure for Currency Options: (including “Any-day” Expiries)

Sliding scale band (per deal)	Fee per contract
1 - 999	0.64
1,000 - 4,999	0.55
5,000 - 7,499	0.46
7,500 - 9,009	0.30
100 and above	0.23

The fees are capped at R39,900 per deal to entice bigger contracts.
*All the above fees include VAT of 14%.

Maxi Dollar/Rand Currency Option Trading Costs

The sliding scale fee structure for the Maxi Dollar/Rand Currency Option: ($100,000)

Sliding scale band (per deal)	Fee per contract
1 - 9	R64.00
10 - 49	R55.00
50 - 74	R45.50
75 - 99	R30.00
100 and above	R22.50

The fees are capped at R39,900 per deal to entice bigger contracts.
*All the above fees include VAT of 14%.