When it places a bid or ask quote for a paired trade, a securities firm shall do so in accordance with the following provisions (the quote for the paired trade will not be matched and executed unless the ticker codes, unit prices, and volumes of the subject securities of the paired trade match up correctly and the TWSE has checked and found the quote to be in compliance with block trading requirements):
Where a block trade of a basket of stocks is conducted as a paired trade, only one principal's account number (or dealer's account number) will be provided for the bid and ask quotes, respectively, and the stock codes, unit prices, and volumes must match up. Matching and execution based on the current pair as quoted will not be carried out until the quote has been checked by the TWSE and found to be in compliance with block trading requirements.
- When both the bid and ask quotes for the same paired trade are placed by a single securities firm, the firm shall first submit a quote indicating the group code, securities firm code, ticker code(s), unit price(s), a listing of purchases and sales, and total volume of the paired trade, and thereafter submit the order ticket number, type of the order, account number of the principal (or dealer), and trading order volume.
- When either bid or ask quotes for the same paired trade are placed by different securities firms, the group code, code for each securities firm, ticker code(s), unit price(s), a listing of purchases and sales, and the total trade volume shall first be provided in a quote placed by one of the ask-side securities firms acting as representative for the other(s). The ask-side representative and each of the other securities firms participating in the paired trade shall then each separately provide an order ticket number, type of the order, their principal (or dealer) account number, and trading order volume.