The CFTC’s new Regulation Automated Trading rule proposal aims to prevent self-trading. John Lothian News spoke with Lisa Dunsky, attorney at Sidley Austin, prior to the CFTC’s rule approval to discuss some of the issues surrounding self-trading, as well as how spoofing may factor in.
Tag Archives: Sidley Austin
A Disruptive Environment: Sidley Austin’s Lisa Dunsky Offers Practical Compliance Tips for Firms and Traders Interview,Regulation,Video
In May 2013, the Commodity Futures Trading Commission finalized its interpretive guidance on disruptive trading practices, as mandated by the Dodd-Frank Act, which defined disruptive trading as any trading activity that: violates bids or offers; demonstrates intentional or reckless disregard for orderly execution; or is of the character of, or is commonly known to the trade as, “spoofing” (bidding or offering with the intent to cancel the bid or offer before execution). In August 2014, CME Group published an advisory notice on a new rule, Rule 575, (“Disruptive Trading Practices Prohibited”), that codified the types of practiced that the exchange…