Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

CBOE Says SEC Probe Settlement May Cost As Much As $10 Million

Feb. 28 (Bloomberg) -- CBOE Holdings Inc.’s cost to settle a U.S. Securities and Exchange Commission investigation may be as much as $10 million, according to a regulatory filing.

The biggest U.S. options market by volume said a year ago that regulators were probing whether the company complied with its obligations as a self-regulatory organization. American exchanges are required to write rules for their markets, monitor trading and seek to ensure that they and their customers aren’t breaking securities laws.

“While an agreement has not been reached with the SEC staff, we believe that any resolution of this matter would include a monetary penalty and may require CBOE to make additional changes to its compliance programs and procedures,” the company wrote in the filing. CBOE said the likelihood of charge in excess of $10 million is “remote.”

CBOE said Feb. 8 it set aside $5 million to cover the resolution.

John Nester, a SEC spokesman declined to comment. Gail Osten, a spokeswoman for CBOE, did not immediately respond to messages requesting comment.

To contact the reporter on this story: Lindsey Rupp in New York at lrupp2@bloomberg.net

To contact the editor responsible for this story: Lynn Thomasson at lthomasson@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.