Article 4.7.1

1.    The contracts traded in the derivatives market (IDEM) shall be futures contracts and options contracts based on financial instruments, interest rates, currencies, goods and related indexes.

2.    Futures contract shall mean a financial instrument referred to in Article 1.2(f) of the Consolidated Law on Finance by means of which the parties undertake to exchange a given quantity of the underlying asset at a predetermined price at maturity. The settlement of the contract at maturity may also consist in the exchange of a sum of money determined as the difference between the price of the contract at its conclusion and its settlement price.

3.    Options contract shall mean a financial instrument referred to in Article 1.2(i) of the Consolidated Law on Finance by means of which one of the parties, against payment of a consideration (premium), acquires the right to buy (call option) or sell (put option), on or by the maturity date, a given quantity of the underlying asset at a predetermined price (exercise price). The settlement of the contract may also consist in the exchange of a sum of money determined as the difference, for call options, between the settlement price of the underlying asset and the exercise price and, for put options, between the exercise price and the settlement price of the underlying asset on the day on which the right is exercised or at maturity.

4.    The asset underlying a derivative instrument must meet requirements concerning liquidity, continuity of trading, availability or accessibility of all the relevant information, and availability of official or at any rate significant prices. Where the underlying consists of indexes, the methods of calculating and disseminating them must be transparent.