SCHEDULEREQUIREMENTS FOR DESIGNATION OF SYSTEM

Establishment, participation and governing law

1.

F1(1)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2)

There must be not less than three institutions participating in the system, unless otherwise determined by the designating authority in any case where—

(a)

there are two institutions participating in a system; and

(b)

the designating authority considers that designation is required on the grounds of systemic risk.

(3)

The system must be a system through which transfer orders are effected.

(4)

Where orders relating to financial instruments other than securities are effected through the system—

(a)

the system must primarily be a system through which securities transfer orders are effected; and

(b)

the designating authority must consider that designation is required on grounds of systemic risk.

F2(5)

An arrangement entered into between interoperable systems shall not constitute a system.