Hong Kong Fines BNP Paribas for Breaking Dark-Pool Trading Rules
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Hong Kong’s financial regulator fined BNP Paribas SA’s local unit HK$15 million ($1.9 million) for breaching rules that set out how its dark pool should operate.
BNP Internal Exchange, the French bank’s dark pool, failed to give priority to higher priced orders, even though it claimed to do so in materials provided to clients, the Securities and Futures Commission said in a statement on Monday. The brokerage treated all orders as having equal priority between November 2009 and April 2011, when it suspended operations, the SFC said.