A Deutsche Bank AG employee said clients never like to know how they were “screwed” in an e- mail concerning a 2007 swap deal that is at the center of a U.K. court fight over whether banks can be sued for manipulation of benchmark interest rates.
Broker-dealers should increase oversight of customers who trade over their systems, with special focus on strategies known as algorithms, said Richard Ketchum of the Financial Industry Regulatory Authority.
Debacles like Knight Capital Group Inc.’s August trading loss will be avoided if brokers exercise more vigilance overseeing their risk controls, according to the head of the Financial Industry Regulatory Authority.
The Financial Industry Regulatory Authority will take over surveillance of NYSE Euronext’s U.S. exchanges and responsibility for policing trading violations as part of a further consolidation of market oversight.
The Financial Industry Regulatory Authority is revamping how it scans for abuses such as insider trading, responding to increased fragmentation of markets, Chief Executive Officer Richard Ketchum said today.
Money ordered recovered by the Financial Industry Regulatory Authority rose last year from 2011 as it punished brokers who overcharged or sold unsuitable products, Richard Ketchum, head of Wall Street’s self-funded regulator, said in a phone interview.