Most Clicked FIA SmartBrief Stories

1. Analysis: Spoofing charge highlights fine line in trading

FIA SmartBrief | Apr 28, 2015

Navinder Singh Sarao has been accused of spoofing in a case that is shining a light on minor differences between illegal and savvy trading. Whether Sarao actually committed fraud is key to a U.S. effort to extradite him from the U.K. New York Times (tiered subscription model), The (04/27)

2. 2 futures traders face CME suspension

FIA SmartBrief | May 01, 2015

CME Group said it has suspended two gold and silver traders accused of engaging in manipulative trading, specifically "layering," in which a trader places an order but has no intention to follow through. Heet Khara and Nasim Salim are barred from trading on CME markets for 60 days. Bloomberg (04/30) Reuters (05/01)

3. FIA Global recommends ways to manage clearinghouse risks

FIA SmartBrief | Apr 29, 2015

FIA Global has released a position paper offering recommendations for assessing and managing central counterparty risks from the perspective of clearing members. "Clearing members are uniquely positioned to assess central counterparty risk and recommend improvements in risk management," said FIA Global President and CEO Walt Lukken. "In addition to allowing market participants to hedge risks through central clearing, our members also play an important role as a backstop in the event of a default. Our goal is to ensure that the risks of central clearing are both transparent and effectively managed." (04/29) Financial Times (tiered subscription model) (04/28)

4. MiFID II draft aims to define HFT

FIA SmartBrief | Apr 28, 2015

European regulators drafting the revised Markets in Financial Instruments Directive are attempting to define high-frequency trading. The draft considers HFT "the submission on average of at least 4 messages per second with respect to all instruments traded on a trading venue or at least 2 messages per second with respect to any single instrument traded on a trading venue." International Financing Review (free content) (04/24)

5. BGC puts recently acquired Trayport up for sale

FIA SmartBrief | Apr 30, 2015

BGC Partners plans to sell Trayport, an electronic trading venue that the broker-dealer inherited with its recent takeover of GFI Group. "We expect numerous parties to be interested in acquiring this business at a valuation that reflects its high margins, growth rate, leading technology, and strategic importance in the global energy and commodities markets," said BGC CEO Howard Lutnick. FOW magazine online (subscription required) (04/29) Financial Times (tiered subscription model) (04/29) (free content) (04/29)

6. FINRA's Ketchum: Consolidated audit trail should include futures data

FIA SmartBrief | May 04, 2015

The consolidated audit trail being developed to help enforce regulations of markets across asset classes should include trading data of futures markets, said Richard Ketchum, CEO of the Financial Industry Regulatory Authority. A Securities and Exchange Commission rule is designed to establish a mechanism to compile trade orders, executions and cancellations into a central database. Reuters (05/01)

7. Exchanges win dismissal of U.S. HFT lawsuits

FIA SmartBrief | Apr 30, 2015

U.S. District Judge Katherine Forrest dismissed lawsuits against the New York Stock Exchange, BATS Exchange, the Nasdaq Stock Market and other exchanges that accused them of selling high-frequency traders early access to market data. The judge said the Securities and Exchange Commission must first review the claims. Reuters (04/29) Wall Street Journal (tiered subscription model), The (04/29)

8. Ex-Goldman programmer seeks mistrial due to juror concerns

FIA SmartBrief | Apr 29, 2015

The lawyer for Sergey Aleynikov, a former Goldman Sachs Group programmer, has requested a mistrial after two jurors expressed concerns about their ability to be impartial as deliberations continue. The jurors' concerns come amid threats and allegations of food tampering. Aleynikov is accused of stealing Goldman's high-frequency trading code. Bloomberg (04/28) Reuters (04/28)

9. SEC reportedly investigates BofA use of customer funds

FIA SmartBrief | Apr 29, 2015

The Securities and Exchange Commission is investigating use of client funds by Bank of America to determine whether the company has violated customer-protection rules, sources say. At issue are trades and loans intended to reduce funding costs and make available billions of dollars for trading that would not be available otherwise, the sources say. Wall Street Journal (tiered subscription model), The (04/28) Bloomberg (04/28)

10. 10 Asian-Pacific CCPs gain equivalence from ESMA

FIA SmartBrief | May 01, 2015

The European Securities and Markets Authority has granted equivalence to ASX Clear, Hong Kong Securities Clearing and eight other clearinghouses in Asia-Pacific. EU regulators remain at odds with U.S. authorities on central-counterparty equivalence. FOW magazine online (subscription required) (04/30) GlobalCapital (subscription required) (04/30) COOConnect (04/30)

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