Shanghai Futures Exchange (hereinafter referred to as “The Exchange”) has been on continuous efforts in investigating and penalizing violations of relevant rules and regulations, so as to strengthen the risk management of the futures market, regulate the futures trading activities and protect the legitimate rights and interests of futures market participants. The enforcement against such violations in March 2020 are listed as follows:
In the aspect of administration of abnormal trading behaviors, the Exchange has dealt with a total of 112 cases, among which 43 case were self-trades, 61 cases were frequent order cancellations, and 6 cases were exceeding the limit of placing and cancellation of large-amount orders，and 2 cases for the combined size of positions within a group of accounts with actual control relationship exceeding the position limit prescribed by the Exchange. The Exchange has separately notified the relevant clients by phone through members and placed 12 clients and 2 groups of accounts with actual control relationship on the Exchange’s watch list, notified 16 abnormal trading behaviors to all the members. The Exchange has suspended 2 clients from opening new positions on the relevant futures contracts and notified to the market.
In the aspect of identification and cooperative investigation of accounts with actual control relationship, The Exchange has identified 11 groups of 19 clients that exist the actual control relationship.
In the aspect of inspecting cases violating trading rules，the Exchange has dealt with 5 cases suspected of violation trading rules, among which 1 case was self-trade that affect the contract price，1 case was suspected of accommodation trade，2 cases were price fluctuation caused by program errors of trading software or market price orders，and 1 case was suspected of existing actual control relationship but has not reported. The Exchange reminds the investors to be in compliance with its rules in the trading activities and cooperate with the reporting of actual control relationship accounts.

Shanghai Futures Exchange

   April 7, 2020