RBC Dominion Securities Inc has agreed to pay a fine of $30,000 for alleged violations of Cboe Futures Exchange, LLC (CFE) rules.
On or about January 11, 2022, an account carried by the firm had an open position in VX futures contracts at the close of trading equal to or in excess of 200 contracts on one side of the market. As the account had a reportable position, the account became reportable as a special account and CFTC Form 102A was due no later than 9 a.m. on January 12, 2022. The Firm filed with the Exchange a copy of CFTC Form 102A via web-based OCR reporting in May 2023.
These acts, practices and conduct constitute violations of Exchange Rule 412B(b)(i) by the firm, in that the firm failed to, in a manner and form prescribed by the Exchange, file with the Exchange no later than 9 a.m. on the business day following the date on which the special account became reportable a copy of CFTC Forms 102A that the Firm was required to report to the Commission pursuant to Commission regulations.
From on or about January 11, 2022 through on or about August 28, 2023, the special account had open positions in VX futures contracts at the close of trading on each trading day equal to or in excess of 200 contracts on either side of the market. From on or about January 11, 2022 through on or about August 28, 2023, the Firm did not submit the aforementioned positions to CFE electronically via the OCC.
These acts, practices, and conduct constitute violations of Exchange Rule 412B(b)(ii) by the firm, in that it failed to report to the Exchange, in the manner and form prescribed by the Exchange, reportable positions in VX futures contracts that the Firm was required to report to the Commission pursuant to Commission regulations.
RBC Dominion Securities does not have any prior relevant disciplinary history related to reporting requirements for CFE Rule 412B(b).
In light of the alleged rule violations described above, the firm consented to the imposition of a monetary fine in the amount of $30,000.
