CME Group said Monday that it has fined TFS Derivatives Ltd. $125,000 after finding the firm submitted block trades with inaccurate execution times and failed to report transactions within required time limits on the New York Mercantile Exchange (NYMEX).
CME Group Fines TFS Derivatives $125,000
According to a disciplinary notice issued by the exchange, the violations occurred across various NYMEX Energy futures and spread markets between 6–31 March 2023 and 2–20 June 2023.
TFS Derivatives neither admitted nor denied the findings but accepted the settlement terms.
The NYMEX Business Conduct Committee reportedly found that TFS repeatedly reported block trades with incorrect execution times and failed to meet deadlines for reporting those trades to the Exchange, breaching NYMEX Rule 526.
The rule requires accurate and timely reporting of block trades, including the exact time a trade is agreed in principle.
Additionally, TFS was said to have violated Rule 432.W by failing to supervise its employees adequately.
CME said the panel concluded the firm did not provide sufficient training or guidance on relevant Exchange Rules and Market Regulation Advisory Notices, leading to the compliance failures.
The fine was approved as part of a settlement and took effect on 21 April 2025.
