CBOE in Settlement Talks Over SEC Probe, Sets Aside $5 Million

CBOE Holdings Inc. said it’s in settlement talks over a U.S. Securities and Exchange Commission investigation and has set aside $5 million to cover the resolution.

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.

“We’re engaged in ongoing settlement discussions with the SEC staff on the resolution of this matter,” Chief Financial Officer Alan Dean said on a conference call with analysts. “No agreement has been reached.”

John Nester, a SEC spokesman declined to comment. Gail Osten, a spokeswoman for CBOE, declined to provide more information.

Before it's here, it's on the Bloomberg Terminal.
LEARN MORE