We detect and investigate potential violations.
The inquiries come from:
1) users’ complaints;
2) programmatic reviews of potential trade practice violations;
3) notifications generated by specialized software.
In response to the inquiries, we may request information from users and memebrs. Upon preliminary review, it is determined whether a formal case should be opened. Parties who are the subject of an investigation will be notified.
Violations reviewed include:
– Wash Trades
– Prearranged, Pre-Negotiated, and Noncompetitive Trades
– Trading Ahead of Customer Orders
– Disruptive Practices
– Block Trade Infractions
– Trading at Settlement Manipulation
Investigations are performed through various methods including:
– sophisticated software systems
– Investigating complaints
– Examining transactional data
– Analyzing recorded evidence
At the conclusion of an investigation, it will be determined whether a rule violation has occurred. The case will be closed with no action taken, if there is no grounds to believe violation occured. If there is reason to believe a rule violation has occurred, the case may be closed with the issuance of a letter of warning. Alternatively, the case may be escalated to the Enforcement team.
To file a complaint, complete the File a Complaint form.