Internal controls (41 - 48 of 48 items)
Securities and Futures Markets: Efforts to Detect Intermarket Frontrunning
GGD-91-135: Published: Sep 26, 1991. Publicly Released: Oct 28, 1991.
Pursuant to a congressional request, GAO reviewed regulatory efforts to detect intermarket frontrunning, which occurs when market participants improperly trade stocks, stock options, stock index options, or stock index futures on the basis of nonpublic market information about imminent and material transactions in those instruments.GAO found that: (1) although some market participants state that i...
Securities Markets: Clearly Defined 'Chinese Wall' Standards Have Been Issued
GGD-91-115: Published: Aug 21, 1991. Publicly Released: Sep 20, 1991.
Pursuant to a congressional request, GAO reviewed Securities and Exchange Commission (SEC) oversight of broker-dealer Chinese Walls, which are the policies and procedures for deterring and detecting the abuse of material, nonpublic information (MNPI) through insider trading.GAO found that: (1) clearly defined standards have been developed, which consider the nature of a broker-dealer's business an...
Financial Markets: Active Oversight of Market Automation by SEC and CFTC Needed
IMTEC-91-21: Published: Apr 2, 1991. Publicly Released: Apr 2, 1991.
GAO assessed the Securities and Exchange Commission's (SEC) and the Commodity Futures Trading Commission's (CFTC) oversight of automated futures and securities trading and post-trading systems.GAO found that: (1) in response to several GAO reports and recommendations regarding various security and internal control weaknesses, SEC and CFTC took preliminary steps to oversee the development and opera...
Securities Industry: Additional Testing Needed to Ensure Efficient Post-Trade Processing of Stocks
IMTEC-90-83: Published: Sep 26, 1990. Publicly Released: Sep 26, 1990.
Pursuant to a congressional request, GAO provided information on: (1) stock exchanges' automated systems for correcting problem trades more expeditiously; (2) the extent to which exchanges tested those systems to ensure that they could process increased work-load volumes; (3) the impact of those systems on reducing the 5-day period needed to clear and settle stock trades; and (4) the Securities an...
Futures Markets: Use of Automation to Detect Trade Abuses
IMTEC-90-81: Published: Aug 24, 1990. Publicly Released: Sep 25, 1990.
Pursuant to a congressional request, GAO reviewed information on: (1) automation initiatives at 14 U.S. futures exchanges that recorded accurate trade times; (2) risk assessments of two automated trading systems that were being developed by the Chicago Board of Trade and the Chicago Mercantile Exchange (CME); and (3) steps taken by the Commodity Futures Trading Commission (CFTC) to assess automati...
Strengthening Trade Practice Oversight
T-GGD-89-39: Published: Sep 8, 1989. Publicly Released: Sep 8, 1989.
GAO discussed how the Commodity Futures Trading Commission (CFTC) and four of the exchanges it regulated could better deter, detect, and punish floor trade practice abusers in the futures markets. GAO noted that: (1) exchanges generally did not precisely time trade activities, although such audit trail information could help them to prevent floor participants from altering trading records and conc...
Commodity Futures Trading Commission and the Chicago Futures Exchanges' Detection of Trade Practice Abuses
T-GGD-89-8: Published: Feb 23, 1989. Publicly Released: Feb 23, 1989.
GAO discussed how the Commodity Futures Trading Commission (CFTC), the Chicago Mercantile Exchange (CME), and the Chicago Board of Trade (CBT) detect and punish trading abuses. GAO found that: (1) CME and CBT identified and investigated trade practices abuses through internal sources, including audited trade information, trading floor activity, exchange member and customer complaints, and CFTC ref...
Preliminary Observations on the Market Crash of October 1987
T-OCG-88-1: Published: Jan 26, 1988. Publicly Released: Jan 26, 1988.
GAO discussed the October 1987 market crash, focusing on ways in which to: (1) protect the rest of the economy; (2) ensure that markets can function; and (3) ensure that individual investors receive fair treatment. GAO noted that the Federal Reserve System: (1) effectively met its responsibility during the market crash as money supply manager, last-resort lender, and overseer of the nation's finan...