TribLIVE

| Business


 
Larger text Larger text Smaller text Smaller text | Order Photo Reprints

Knight Capital will pay $12M in trading debacle

By The Associated Press
Thursday, Oct. 17, 2013, 12:01 a.m.
 

Financial services company Knight Capital Americas will pay $12 million to settle charges that it violated SEC rules in connection with a costly trading glitch in August 2012.

The Securities and Exchange Commission said Knight didn't have adequate safeguards to limit the risks posed by its access to markets.

Knight Capital Group takes stock trading orders from big brokers such as TD Ameritrade and E-Trade. It routes the orders to exchanges including the New York Stock Exchange. In August 2012, a software glitch sent millions of erroneous orders to the New York Stock Exchange. The malfunction caused 45 minutes of volatile trading and a loss of $440 million for Knight.

Knight Capital is now part of KCG Holdings Inc.

 

 
 


Show commenting policy

Most-Read Business Headlines

  1. Sears leaving Century III after 3 decades in West Mifflin
  2. Finleyville maker of luxury kids’ structures learns from housing bust
  3. Coal gathering opens with dour assessment, political vitriol
  4. Treasury plans steps to curb tax inversions
  5. UPMC buying New Castle-based Jameson Health System
  6. Symposiums to spotlight Pittsburgh’s role as an energy powerhouse
  7. Existing home sales fall in August, snapping streak of gains
  8. Stocks slip on China growth jitters
  9. Balancing gas pipeline expansion, environmental unease a problem in Pa.
  10. More companies embrace exchanges to curb health care costs
  11. Hospitals turn to technology to tear down language barriers with patients
Subscribe today! Click here for our subscription offers.