CBOE Holdings Enlists Help of FINRA, Brokering New Regulatory Oversight

One of the largest operators of the US stock options market, CBOE Holdings Inc, will reportedly relinquish its regulatory duties, shifting regulatory duties to the Financial Industry Regulatory Authority (FINRA).

FINRA administers a multitude of legal actions, helping provide market transparency through fines and legislation – last week FINRA issued a collective fine for two broker-dealers under common control, Wells Fargo Advisors (WFA) and Wells Fargo Advisors Financial Network (WFAFN) for $1.5 million.

In its latest move, FINRA was hired by CBOE's Chicago Board Options Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term and C2 Options Exchange for its regulatory oversight, whose partnership will extend towards the Options Regulatory Surveillance Authority (ORSA).

CBOE’s decision to enlist the help of FINRA comes a year after a $6 million penalty, payable to the US’ Securities and Exchange Commission (SEC) Securities and Exchange Commission (SEC) The Securities and Exchange Commission (SEC) is one of the most widely known independent authorities in the United States. The SEC has a wide range of responsibilities, helping police markets and curbing against abuse. This includes enforcing federal securities laws, proposing securities rules, and regulating the US’ stock and options exchanges.As one of the paramount regulatory authorities in the US, the SEC is responsible for the oversight of public companies in the aforementioned segments.Wha The Securities and Exchange Commission (SEC) is one of the most widely known independent authorities in the United States. The SEC has a wide range of responsibilities, helping police markets and curbing against abuse. This includes enforcing federal securities laws, proposing securities rules, and regulating the US’ stock and options exchanges.As one of the paramount regulatory authorities in the US, the SEC is responsible for the oversight of public companies in the aforementioned segments.Wha Read this Term), its first ever.