NOTICE OF SUMMARY ACTION

FILE NO.:

CME RSRH-33177189

MEMBER FIRM:

BGC Brokers L.P.  

CME RULE VIOLATION:

526.F. BLOCK TRADES

Unless otherwise agreed to by the principal counterparties to the block trade, the seller, or, in the case of a brokered transaction, the broker handling the block trade, must ensure that each block trade is reported to the Exchange within the time period and in the manner specified by the Exchange. The report must include the contract, contract month, price, quantity of the transaction, the respective clearing members, the time of execution, and, for options, strike price, put or call and expiration month. The Exchange shall promptly publish such information separately from the reports of transactions in the regular market.

MRAN RA-2303-5 (in part)

Market participants must accurately report the execution time of the block trade.

FINDINGS:

On multiple occasions in January 2024, BGC Brokers L.P. did not report block trades with an accurate execution time to the Exchange.  These block trades were executed in March 2024 Three-Month SOFR Call Options.  

PENALTY:

On June 26, 2024, pursuant to Rule 512, a fine in the amount of $1,000 was assessed against BGC Brokers L.P. for its violations of CME Rule 526 and CME Rule 526.F.

EFFECTIVE DATE:

July 12, 2024