FILE NO.:

RSRH-20-5808-2

MEMBER FIRM:

X-Change Financial Access, LLC  

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-2002-5 (in part)

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

FINDINGS:

On 31 occasions in March 2020, X-Change Financial Access, LLC did not report a block trade in a timely manner or with an accurate execution time to the Exchange. These block trades were executed in March 2020, April 2020, June 2020, and September 2020 S&P 500 Options, including Weekly and End-of-Month Options and June 2020 S&P 500 Futures.

PENALTY:

On May 14, 2020, pursuant to Rule 512, a fine in the amount of $2,500 was assessed against X-Change Financial Access, LLC for its violation of CME Rule 526, and CME Rule 526.F.

EFFECTIVE DATE:

June 12, 2020