CFTC ACTION: Scotia Capital Inc.
Felix Shipkevich - January 28, 2010Prior to the trades being entered on the NYMEX, SCI employees arranged for the trades to be executed with a minimal price difference between long and short positions by seeking trades such that there was no more than a half a cent price differential between the buy and sell orders.
CFTC ACTION: Pinemore, L.P. and Birchmore, L.P.
Felix Shipkevich - January 28, 2010According to the order, on one or more occasions in November and December 2006, Pinemore and Birchmore ordered through their broker certain natural gas futures trades on the NYMEX that were wash sales. Because the trades ordered by Pinemore and Birchmore were designed to give the appearance of submitting trades to the open market, while negating the risk incident to the market and producing a virtual financial nullity, they constituted wash sales in violation of the CEA.
New complaint handling standards for IIROC-regulated firms
Felix Shipkevich - December 21, 2009The new complaint handling rule sets standards and timelines for IIROC- regulated firms to acknowledge, investigate and respond to client complaints about their accounts.
Under the new standards the firm has five business days to acknowledge receipt of the client’s complaint. The firm must investigate the complaint and provide its response to the client within 90 [...]
IIROC invites public comment on arbitration program
Felix Shipkevich - December 16, 2009IIROC issued a Rules Notice Request for Comments on its Review of IIROC Arbitration Program.
Commencing in the fall of 2008, IIROC undertook a comprehensive review and evaluation of the arbitration program. The results are discussed in the Notice.
IIROC invites public comment on the matters raised in the Notice and, particularly, the following:
1. the benefits of [...]
Request for Comments – Proposed Amendments to the Universal Market Integrity Rules
Felix Shipkevich - November 13, 2009The Proposed Amendments would:
•repeal the rule and policies respecting the “best price” obligation of Participants;
•provide that the Order Protection Rule can not be avoided when a Participant is considering a trade on a foreign organized regulated market;
•require a Participant or Access Person to have adequate policies and procedures for the
handling of orders that do not [...]
Unregistered dealer Horizon FX Investments lost millions
Felix Shipkevich - November 10, 2009B.C. Securities Commission issued a notice of hearing against a Cem Ali, president and sole director of Horizon FX Investments, alleging that he fraudulently induced nearly 1,000 people to invest $34 million in foreign exchange contracts. The money was placed with a New York foreign exchange trading firm called Razor FX, which was exposed as [...]
“Regulatory Responses in a Rapidly Evolving Industry”
Felix Shipkevich - October 15, 2009IIROC President and CEO Susan Wolburgh Jenah delivered a speech at the Investment Industry Association of Canada (IIAC) annual conference on September 24, in which she outlined Canadian and global regulatory concerns and initiatives.
The CSA and IIROC published a Joint Consultation Paper on Dark Pools, Dark Orders, and Other Developments in Market Structure in Canada.
Felix Shipkevich - September 30, 2009The Joint Consultation Paper outlines the introduction of marketplaces that offer no pre-trade transparency (dark pools), the introduction of new order types, including those that have limited or no transparency (dark orders), the interaction of visible and dark orders on the same trading platform, and the introduction of smart order routers.
New National Registration Regime Implemented
Felix Shipkevich - September 28, 2009National Instrument 31-103 Registration Requirements and Exemptions, and related rules and amendments, create a new Canada-wide registration regime. The new regime has higher proficiency standards for some registrants. It also has enhanced rules for consumer disclosure, referral arrangements, handling investor complaints, and disclosing and addressing conflicts of interest. The new regime introduces a registration requirement [...]
Dealer Member Rule 41 outlines obligations to CIPF
Felix Shipkevich - August 25, 2009IIROC Dealer Members are required to pay Canadian Investor Protection Fund assessments through IIROC. IIROC henceforth has permission to share Dealer Member information with CIPF. CIPF has direct access to IIROC Dealer Member premises, information, and personnel and Dealer Members must comply with actions requested by CIPF.
