NOTICE OF DISCIPLINARY ACTION

NON-MEMBER:

JIANWEI ZHOU

EXCHANGE RULE: 576. IDENTIFICATION OF GLOBEX TERMINAL OPERATORS

Each Globex terminal operator shall be identified to the Exchange, in the manner prescribed by the Exchange, and shall be subject to Exchange rules. If user IDs are required to be registered with the Exchange, it is the duty of the clearing member to ensure that registration is current and accurate at all times. Each individual must use a unique user ID to access Globex. In no event may a person enter an order or permit the entry of an order by an individual using a user ID other than the individual’s own unique user ID.

FINDINGS:

Pursuant to an offer of settlement Jianwei Zhou (“Zhou”) presented at a hearing on September 26, 2018, in which Zhou neither admitted nor denied the rule violation upon which the penalty is based, a Panel of the COMEX Business Conduct Committee (“BCC Panel”) found that over the course of several years, Zhou permitted over twenty individuals to use his unique Globex User ID (“Tag 50”) to enter orders on Globex from his trading account. Specifically, during the time period of August 2016 to September 2016, Zhou permitted several individuals to use his unique Tag 50 and these individuals entered multiple large orders in the December 2016 Gold futures (“DEC16 Gold”) market which caused price and volume aberrations.

The Panel found that as a result of the foregoing, Zhou violated Rule 576.

PENALTY:

In accordance with the settlement offer, the BCC Panel ordered Zhou to pay a $5,000 fine and serve a six-month suspension from membership privileges, access to any CME Group trading floor, and direct or indirect access to any electronic trading or clearing platform owned or controlled by CME Group, Inc., including CME Globex. The suspension shall run from September 28, 2018 through March 28, 2019, inclusive.