NOTICE OF SUMMARY ACTION

FILE NO:

DQA-20-0371

MEMBER FIRM:

ADM INVESTOR SERVICES, INC.

RULE VIOLATION:

MARKET REGULATION ADVISORY NOTICE 2011-5 ("DOCUMENTATION OF CUSTOMER ORDERS AND SUBMISSTION OF SUSPENSE ACCOUNTS ON CME GLOBEX”)

Recognizing that on occasion a customer-specific or EAM-specific account may not be available at the time an order is entered into Globex, de minimis usage of an Execution Operation Suspense Account will be permitted, provided the following requirements are met.

1.    If a general suspense account is used rather than a customer- specific or EAM-specific account, the Execution Operation must create, prior to order entry, a written or electronic record of the order in accordance with Rule 536.B.1. The order must reflect the time of receipt of the order and a customer-specific or EAM-specific account designation.

2.    The general suspense account must be unique to the desk or group of the Execution Operation submitting the order into Globex.

FINDINGS:

During the period of January 1, 2020 to March 31, 2020, ADM Investor Services, Inc. violated Market Regulation Advisory Notice (MRAN) 2011-5 by failing to meet the documentation requirements for orders entered using Execution Operation Suspense Accounts.

PENALTY:

On December 16, 2020, ADM Investor Services, Inc., pursuant to Rule   512 (“Reporting Infractions”), was issued a $2,000 fine for its violation of MRAN 2011-5.

EFFECTIVE DATE:

January 5, 2021