I noticed yesterday in a Reuters article that: NEW YORK, Oct 10 (Reuters) - NYSE Regulation said on Wednesday it disciplined nine member firms and eight individuals in October for various securities violations. .... Interactive Brokers (IBKR.O: Quote, Profile, Research) was fined $250,000 for trading violations and financial and operational deficiencies. .... http://www.reuters.com/article/marketsNews/idUKN1024448220071010?rpc=44 But have not been able to find further details. Anyone know the fuller story?
HSBC Securities, Citigroup Global Markets, RBC Capital Markets, Merrill Lynch, Susquehanna and UBS also fined. We probably won't get much more detail on this. Given the other names on the list, it's just a matter of business as usual - try this or that knowing that if they get caught, it's a slap on the wrist and a wink.
Unlike that 2004 NYSE disciplinary action over failure to supervise abusive odd-lot trading practices and failing to track oral customer complaints.... So I am not a NYSE rules expert to know exactly when an action gets reported with full details vs. no details. Perhaps that's the other question I had.
I'm pretty sure you'll find what you're looking for on pages 42-43 of the attached PDF. This info is publicly available here: http://www.finra.org/InvestorInform...kgroundofYourInvestmentProfessional/index.htm
Any NYSE disciplinary actions are posted at there. Here is the IB link... The details are midway down this page: http://www.nyse.com/DiscAxn/discAxn_10_2007.html#07-145
Most of the complaints seem like administrative ommissions or the need to get their software tweaked. I like this one. In addition, during the period March 2003 through August 2003 (âthe Second Relevant Periodâ), Interactive introduced for execution on the NYSE thousands of odd-lot orders that aggregated 100 shares or more without having those orders consolidated into round-lots as far as possible. Specifically, five of Interactiveâs customers entered odd-lot market orders in the same security on the same side of the market in quick succession, the majority of which were entered within the same second, thereby circumventing the round-lot market. Seems to me I read about that scheme here on ET. Jack
Thanks. So it's almost the same as the 2004 action (minus the lack of tracking of orally received reportable customer complaints)! Funny thing -- I recall a thread where someone was complaining about too many restrictions on odd lots.... Seems like NYSE is saying IB is still too loose.