Penalty notice for Share Investing
Share Investing Limited is paying $130,000 for failing to comply with the Australian Securities and Investments Commission (ASIC) Market Integrity Rules (ASX 2010) which prohibits market participants from entering orders on the account of the client, where the intention is suspected to be creating false or misleading levels of market activity.
ASIC found that between April and May of 2013, a client of Share Investing used the company’s automated processing system to trade in the shares of an energy company.
After the orders appeared inconsistent with previous trading patterns, the Markets Disciplinary Panel (MDP) found Share Investing should have identified the circumstances.
The misjudgement on behalf of Share Investing employees, as well as trading representatives, had been confirmed as giving rise to the contravention. The MDP was satisfied that the corporate culture of Share Investing remained conducive to legal compliance.
AUTHOR
Hope William-Smith
Recommended for you
Clime Investment Management has welcomed an independent director to its board, which follows a series of recent appointments at the company.
Ethical investment manager Australian Ethical has cited the ongoing challenging market environment for its modest decrease in assets over the latest quarter.
Commentators have said Australian fund managers are less knowledgeable compared with overseas peers when it comes to expanding their range with ETFs and underestimating the competition from passive strategies.
VanEck is to list two ETFs on the ASX next week, one investing in residential mortgage-backed securities and the other in Indian companies.
