GOLDMAN SACHS ASSET MANAGEMENT LP
NYMEX RULE VIOLATION: 562. POSITION LIMIT VIOLATIONS
Any positions in excess of those permitted under the rules of the Exchange shall be deemed position limit violations.
Pursuant to an offer of settlement Goldman Sachs Asset Management (“GSAM”) presented at a hearing on October 5, 2016, in which GSAM neither admitted nor denied the factual allegations or the NYMEX rule violation upon which the penalty is based, a Panel of the NYMEX Business Conduct Committee (“BCC”) found that it had jurisdiction over GSAM pursuant to Exchange Rules 402 and 418, and that at the close of business on April 25, 2016, GSAM held a futures equivalent long position of 2,202 contracts in May 2016 Henry Hub Natural Gas Futures (“MAY16 NG”), which was 1,202 contracts, or 120.20%, over the standard expiration month limit, which went into effect at the close of business on April 22, 2016 and remained in effect for trade dates April 25, 26, and 27, 2016.
The Panel found that as a result, GSAM violated Rule 562.
In accordance with the settlement offer, the Panel ordered GSAM to pay a fine to the Exchange in the amount of $40,000.
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