CME hit with class action complaint for alleged preference of high-frequency traders

Complaint accuses CME of prioritizing high-frequency trades

Frequently a point of contention for regulatory agencies, high-frequency trading has drawn ever more heat for its connection to potentially shady trading methods. Those concerns crystalized on April 11, when a group of investors filed a complaint against the world’s largest derivative trading firm, CME Group Inc. The filing accuses CME of selling market data to high frequency traders, giving them an unfair advantage.

The complaint, which was filed in Chicago, argues that CME has been giving high-frequency traders early access to buy and sell orders since 2007.  That practice, they argue, not only denied CME’s customers the priority they paid for, but gave high-frequency traders an unfair advantage. The complaint seeks class action status for CME’s clients.

Executive Editor

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Chris DiMarco

Chris DiMarco, Executive Editor of InsideCounsel magazine, has a background in multimedia production with previous involvement in projects in which he developed and created content...

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