US SEC fines JPMorgan's Neovest trading platform, prompts rare dissent

The enforcement action against Neovest Inc prompted a rare, 2, 000-word dissent from Hester Peirce, one of two Republicans on the five-person commission, who said it could thwart innovation and was "unbecoming of the world's strongest securities market." Neovest represents the first SEC case charging an order and execution management system that facilitates electronic trading with operating as an unregistered broker.

NEW YORK: An electronic trading platform owned by JPMorgan Chase & Co will pay a US$2.75 million civil fine to settle U.S. Securities and Exchange Commission charges it failed to register as a broker-dealer for more than a decade, the regulator said on Tuesday.

The enforcement action against Neovest Inc prompted a rare, 2, 000-word dissent from Hester Peirce, one of two Republicans on the five-person commission, who said it could thwart innovation and was "unbecoming of the world's strongest securities market."