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 May 2024 is listed as follows:

In the aspect of administration of abnormal trading behaviors, the Exchange has dealt with 25 cases, among which 18 cases were self-trades, 4 cases were exceeding the limit of placing and cancellation of large-amount order, 3 cases were exceeding the intraday position opening volume prescribed by SHFE. The Exchange has separately notified the relevant clients by phone through the members, placed 3 clients on the Exchange’s watchlist, notified 6 abnormal trading behaviors to all the members. The Exchange has suspended 3 groups of clients that exist the actual control relationship 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 919 groups of 1959 clients that exist the actual control relationship to cooperate with the investigation of the actual control relationship and urged 74 groups of 181 clients to cooperate with the investigation of the actual control relationship in May.

In the aspect of inspecting cases violating trading rules, the Exchange has dealt with 7 cases, of which 3 cases were suspected of accommodation trade, 1 case was price fluctuation caused by accommodation trade, 2 cases were clients existing actual control relationship but have not reported, 1 case was price fluctuation caused by self trade. The Exchange has filed and investigated 3 cases suspected of violating trading rules in May.

The Exchange reminds traders to be in compliance with its rules in the trading activities and report accounts with actual control relationship.

Shanghai Futures Exchange
June 6, 2024