Cboe Futures Exchange issued revised guidance on authorized exchange of contract for related position transactions – more commonly referred to as exchange for related position transactions on other derivative exchanges. On CFE, authorized ECRP transactions must involve (1) a CFE contract and a transaction in a related position or option on a related position; (2) actual transfer of ownership and an ability to perform the ECRP; and (3) separate parties on each side of the ECRP. The related position for an ECRP may include a security, a derivative, any commodity under applicable law, or a group or basket of any of the foregoing provided all related positions must have a high degree of price correlation to the underlying contract. No related position may be a contract traded on or subject to CFE rules, and no contingent ECRPs are permitted. An ECRP is an exception to the Commodity Futures Trading Commission rule that all futures contracts must be openly and competitively executed. (Click here to access CFTC Rule 1.38.)