CFFEX Circular [2024] No.3

To prevent market risks, maintain orderly operation of the market and protect investors’ legitimate rights and interests, China Financial Futures Exchange (CFFEX) took the following self-regulatory measures against violations of exchange rules in February 2024.

CFFEX handled 9 cases of self-trade, 20 cases of frequent placement and cancellation of orders, 2 cases of placement and cancellation of large orders, and 1 case of aggregate position held through actual control accounts exceeding applicable position limit, involving 59 clients in total. 5 members received reminders via telephone, and 50 clients were suspended the opening of new positions.

CFFEX handled 14 cases of trading limits breaches, and took measures against 44 clients involved by suspending their opening of new positions. 

CFFEX handled 9 cases of clients’ hedging positions exceeding their corresponding matching requirements, and took measures against the 9 clients involved by requesting rectification within a prescribed time period, and requesting reporting, among others. 

CFFEX handled 1 case of circumventing and trading above the trading limits of CFFEX by improper means. CFFEX reprimanded the private-equity firm, its actual controller, etc. involved, and took disciplinary measures against the 5 accounts involved by suspending their opening of new positions in equity index futures for 12 months and confiscating RMB 8.9348 million in gains from the violation. The violation was also recorded in the Capital Market Integrity Database.