A ardvark Trading LLC will pay a $205,000 fine after CME Group Inc. said the firm’s automated trading system caused price and volume aberrations in Eurodollar futures two years ago. The exchange operator cited the ‘‘improper configuration and modification’’ of Aardvark’s automated trading system and the failure of the firm to appropriately test the code before deploying it. The enforcement action comes as the Commodity Futures Trading Commission is considering a rule that would give it easier access to automated trading firms’ source codes. The commission last year proposed that firms store their codes in a repository, to be available to the CFTC at any time (47 SRLR 2310, 12/7/15). Firms have pushed back, saying the proprietary codes are too valuable to store with third parties and turn over without a subpoena.
Automated Trading Firm Fined By CME Group for Computer Problems
- Murphy & McGonigle Named Securities Regulation ‘Law Firm of the Year’ by U.S. News - Best Lawyers
- One Year Later – Has Cross Border Discovery Been Impacted by Del Valle Ruiz Ruling?
- Cross-Border Discovery Trends 1 Year After 2nd Circ. Ruling
- Cybersecurity & Data Privacy Update: Regulatory and Enforcement Trends in 2021
- Murphy & McGonigle Expands To Chicago With Securities Pro