NOTICE OF SUMMARY ACTION

FILE NO.:

CME-RSRH-20-5879

MEMBER FIRM:

Third Coast Options, 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 20 occasions in June 2020, Third Coast Options, 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 June 2020 and July 2020 S&P 500 Weekly and End-of-Month Options.

PENALTY:

On September 15, 2020, pursuant to Rule 512, a fine in the amount of $4,000 was assessed against Third Coast Options, LLC for its violation of CME Rule 526, and CME Rule 526.F.

EFFECTIVE DATE:

October 1, 2020