Financial and Business News

Looping Messages Trigger CBOT Fine for Proprietary Trading Firm Hertshten Group

Friday, 27/02/2026 | 12:58 GMT by Tareq Sikder
  • CBOT fines proprietary firm Hertshten Group $95K for disruptive pre-open trading activity.
  • CME previously fined Tanius Technology $150K for oversized Treasury futures orders.
The Chicago Board of Trade
The Chicago Board of Trade, Source: Wikipedia

The Chicago Board of Trade has fined Hertshten Group Limited, a proprietary trading firm, following disruptive activity during pre-open trading periods. The firm “neither admitted nor denied” the rule violations as part of a settlement. Under the agreement, Hertshten Group must pay a $95,000 fine, with $55,000 allocated to CBOT.

CME Penalizes Institutional Prop Trading Firms

The case follows a recent enforcement action by CME Group against an institutional prop firm. In that case, CME fined Tanius Technology $150,000 after finding the firm entered oversized Treasury futures orders that it could not immediately cover. Between 2020 and 2022,

Tanius stacked maximum-quantity orders during roll periods, exploiting pro-rata matching to gain larger fills. Institutional prop firms like Hertshten Group and Tanius trade their own capital and are subject to CME market conduct rules, unlike retail-focused platforms such as FTMO or FundedNext.

Both cases fall under the oversight of CME Group, though Hertshten was disciplined specifically by the CBOT committee while Tanius was handled at the broader CME Group level.

Automated Circuit Breakers Trigger CBOT Action

CBOT’s Business Conduct Committee found that Hertshten Group and analysts at its India-based subsidiary engaged in repeated messaging activity, described as “looping,” which affected opening prices in the 30 Day Federal Funds futures market. The activity triggered automated circuit breakers and required intervention from CME Group’s Global Command Center.

The Committee said the firm failed to supervise its agents adequately and did not prevent the disruptive behavior. The actions were deemed violations of CBOT rules covering supervision and market conduct.

CME Globex Outage Disrupts Futures Trading

The Hertshten Group case comes amid operational issues at CME Group. Yesterday (Thursday), CME’s Globex electronic trading platform went offline for several hours, affecting futures in gold, copper, and natural gas.

The outage triggered automated halts and required intervention from CME’s Global Command Center, which also monitors pre-open trading activity. The disruption affected normal price discovery and highlighted the exchange ’s role in maintaining orderly market operations.

The Chicago Board of Trade has fined Hertshten Group Limited, a proprietary trading firm, following disruptive activity during pre-open trading periods. The firm “neither admitted nor denied” the rule violations as part of a settlement. Under the agreement, Hertshten Group must pay a $95,000 fine, with $55,000 allocated to CBOT.

CME Penalizes Institutional Prop Trading Firms

The case follows a recent enforcement action by CME Group against an institutional prop firm. In that case, CME fined Tanius Technology $150,000 after finding the firm entered oversized Treasury futures orders that it could not immediately cover. Between 2020 and 2022,

Tanius stacked maximum-quantity orders during roll periods, exploiting pro-rata matching to gain larger fills. Institutional prop firms like Hertshten Group and Tanius trade their own capital and are subject to CME market conduct rules, unlike retail-focused platforms such as FTMO or FundedNext.

Both cases fall under the oversight of CME Group, though Hertshten was disciplined specifically by the CBOT committee while Tanius was handled at the broader CME Group level.

Automated Circuit Breakers Trigger CBOT Action

CBOT’s Business Conduct Committee found that Hertshten Group and analysts at its India-based subsidiary engaged in repeated messaging activity, described as “looping,” which affected opening prices in the 30 Day Federal Funds futures market. The activity triggered automated circuit breakers and required intervention from CME Group’s Global Command Center.

The Committee said the firm failed to supervise its agents adequately and did not prevent the disruptive behavior. The actions were deemed violations of CBOT rules covering supervision and market conduct.

CME Globex Outage Disrupts Futures Trading

The Hertshten Group case comes amid operational issues at CME Group. Yesterday (Thursday), CME’s Globex electronic trading platform went offline for several hours, affecting futures in gold, copper, and natural gas.

The outage triggered automated halts and required intervention from CME’s Global Command Center, which also monitors pre-open trading activity. The disruption affected normal price discovery and highlighted the exchange ’s role in maintaining orderly market operations.

Topics
cme
CME Group
proprietary trading
About the Author: Tareq Sikder
Tareq Sikder
  • 2166 Articles
  • 39 Followers
A Forex technical analyst and writer who has been engaged in financial writing for 12 years.

More from the Author

Institutional FX

Hannah Hill on Innovation, Branding & Award-Winning Technology | Executive Interview | AXI

Hannah Hill on Innovation, Branding & Award-Winning Technology | Executive Interview | AXI

Recorded live at FMLS:25, this executive interview features Hannah Hill, Head of Brand and Sponsorship at AXI, in conversation with Finance Magnates, following AXI’s win for Most Innovative Broker of the Year 2025. In this wide-ranging discussion, Hannah shares insights on: 🔹What winning the Finance Magnates award means for AXI’s credibility and innovation 🔹How the launch of AXI Select, the capital allocation program, is redefining industry standards 🔹The development and rollout of the AXI trading app across multiple markets 🔹Driving brand evolution alongside technological advancements 🔹Encouraging and recognizing teams behind the scenes 🔹The role of marketing, content, and social media in building product awareness Hannah explains why standout products, strategic branding, and a focus on innovation are key to growing visibility and staying ahead in a competitive brokerage landscape. 🏆 Award Highlight: Most Innovative Broker of the Year 2025 👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events. #FMLS25 #FinanceMagnates #MostInnovativeBroker #TradingTechnology #FinTech #Brokerage #ExecutiveInterview #AXI

Recorded live at FMLS:25, this executive interview features Hannah Hill, Head of Brand and Sponsorship at AXI, in conversation with Finance Magnates, following AXI’s win for Most Innovative Broker of the Year 2025. In this wide-ranging discussion, Hannah shares insights on: 🔹What winning the Finance Magnates award means for AXI’s credibility and innovation 🔹How the launch of AXI Select, the capital allocation program, is redefining industry standards 🔹The development and rollout of the AXI trading app across multiple markets 🔹Driving brand evolution alongside technological advancements 🔹Encouraging and recognizing teams behind the scenes 🔹The role of marketing, content, and social media in building product awareness Hannah explains why standout products, strategic branding, and a focus on innovation are key to growing visibility and staying ahead in a competitive brokerage landscape. 🏆 Award Highlight: Most Innovative Broker of the Year 2025 👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events. #FMLS25 #FinanceMagnates #MostInnovativeBroker #TradingTechnology #FinTech #Brokerage #ExecutiveInterview #AXI
More Videos

  • Executive Interview | Dor Eligula | Co-Founder & Chief Business Officer, BridgeWise | FMLS:25

    Executive Interview | Dor Eligula | Co-Founder & Chief Business Officer, BridgeWise | FMLS:25

    In this session, Jonathan Fine form Ultimate Group speaks with Dor Eligula from Bridgewise, a fast-growing AI-powered research and analytics firm supporting brokers and exchanges worldwide. We start with Dor’s reaction to the Summit and then move to broker growth and the quick wins brokers often overlook. Dor shares where he sees “blue ocean” growth across Asian markets and how local client behaviour shapes demand. We also discuss the rollout of AI across investment research. Dor gives real examples of how automation and human judgment meet at Bridgewise — including moments when analysts corrected AI output, and times when AI prevented an error. We close with a practical question: how retail investors can actually use AI without falling into common traps.

    In this session, Jonathan Fine form Ultimate Group speaks with Dor Eligula from Bridgewise, a fast-growing AI-powered research and analytics firm supporting brokers and exchanges worldwide. We start with Dor’s reaction to the Summit and then move to broker growth and the quick wins brokers often overlook. Dor shares where he sees “blue ocean” growth across Asian markets and how local client behaviour shapes demand. We also discuss the rollout of AI across investment research. Dor gives real examples of how automation and human judgment meet at Bridgewise — including moments when analysts corrected AI output, and times when AI prevented an error. We close with a practical question: how retail investors can actually use AI without falling into common traps.

  • Executive Interview | Brendan Callan | CEO, TRADU | FMLS:25

    Executive Interview | Brendan Callan | CEO, TRADU | FMLS:25

    Brendan Callan joined us fresh off the Summit’s most anticipated debate: “Is Prop Trading Good for the Industry?” Brendan argued against the motion — and the audience voted him the winner. In this interview, Brendan explains the reasoning behind his position. He walks through the message he believes many firms avoid: that the current prop trading model is too dependent on fees, too loose on risk, and too confusing for retail audiences. We discuss why he thinks the model grew fast, why it may run into walls, and what he believes is needed for a cleaner, more responsible version of prop trading. This is Brendan at his frankest — sharp, grounded, and very clear about what changes are overdue.

    Brendan Callan joined us fresh off the Summit’s most anticipated debate: “Is Prop Trading Good for the Industry?” Brendan argued against the motion — and the audience voted him the winner. In this interview, Brendan explains the reasoning behind his position. He walks through the message he believes many firms avoid: that the current prop trading model is too dependent on fees, too loose on risk, and too confusing for retail audiences. We discuss why he thinks the model grew fast, why it may run into walls, and what he believes is needed for a cleaner, more responsible version of prop trading. This is Brendan at his frankest — sharp, grounded, and very clear about what changes are overdue.

  • Elina Pedersen on Growth, Stability & Ultra-Low Latency | Executive Interview | Your Bourse

    Elina Pedersen on Growth, Stability & Ultra-Low Latency | Executive Interview | Your Bourse

    Recorded live at FMLS:25 London, this executive interview features Elina Pedersen, in conversation with Finance Magnates, following her company’s win for Best Connectivity 2025. 🔹In this wide-ranging discussion, Elina shares insights on: 🔹What winning a Finance Magnates award means for credibility and reputation 🔹How broker demand for stability and reliability is driving rapid growth 🔹The launch of a new trade server enabling flexible front-end integrations 🔹Why ultra-low latency must be proven with data, not buzzwords 🔹Common mistakes brokers make when scaling globally 🔹Educating the industry through a newly launched Dealers Academy 🔹Where AI fits into trading infrastructure and where it doesn’t Elina explains why resilient back-end infrastructure, deep client partnerships, and disciplined focus are critical for brokers looking to scale sustainably in today’s competitive market. 🏆 Award Highlight: Best Connectivity 2025 👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events. #FMLS25 #FinanceMagnates #BestConnectivity #TradingTechnology #UltraLowLatency #FinTech #Brokerage #ExecutiveInterview

    Recorded live at FMLS:25 London, this executive interview features Elina Pedersen, in conversation with Finance Magnates, following her company’s win for Best Connectivity 2025. 🔹In this wide-ranging discussion, Elina shares insights on: 🔹What winning a Finance Magnates award means for credibility and reputation 🔹How broker demand for stability and reliability is driving rapid growth 🔹The launch of a new trade server enabling flexible front-end integrations 🔹Why ultra-low latency must be proven with data, not buzzwords 🔹Common mistakes brokers make when scaling globally 🔹Educating the industry through a newly launched Dealers Academy 🔹Where AI fits into trading infrastructure and where it doesn’t Elina explains why resilient back-end infrastructure, deep client partnerships, and disciplined focus are critical for brokers looking to scale sustainably in today’s competitive market. 🏆 Award Highlight: Best Connectivity 2025 👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events. #FMLS25 #FinanceMagnates #BestConnectivity #TradingTechnology #UltraLowLatency #FinTech #Brokerage #ExecutiveInterview

  • Blueberry Broker Review 2026: Regulation, Platforms, Fees & Trading Conditions | Finance Magnates

    Blueberry Broker Review 2026: Regulation, Platforms, Fees & Trading Conditions | Finance Magnates

    In this video, we take an in-depth look at @BlueberryMarketsForex , a forex and CFD broker operating since 2016, offering access to multiple trading platforms, over 1,000 instruments, and flexible account types for different trading styles. We break down Blueberry’s regulatory structure, including its Australian Financial Services License (AFSL), as well as its authorisation and registrations in other jurisdictions. The review also covers supported platforms such as MetaTrader 4, MetaTrader 5, cTrader, TradingView, Blueberry.X, and web-based trading. You’ll learn about available instruments across forex, commodities, indices, share CFDs, and crypto CFDs, along with leverage options, minimum and maximum trade sizes, and how Blueberry structures its Standard and Raw accounts. We also explain spreads, commissions, swap rates, swap-free account availability, funding and withdrawal methods, processing times, and what traders can expect from customer support and additional services. Watch the full review to see whether Blueberry’s trading setup aligns with your experience level, strategy, and risk tolerance. 📣 Stay up to date with the latest in finance and trading. Follow Finance Magnates for industry news, insights, and global event coverage. Connect with us: 🔗 LinkedIn: /financemagnates 👍 Facebook: /financemagnates 📸 Instagram: https://www.instagram.com/financemagnates 🐦 X: https://x.com/financemagnates 🎥 TikTok: https://www.tiktok.com/tag/financemagnates ▶️ YouTube: /@financemagnates_official #Blueberry #BlueberryMarkets #BrokerReview #ForexBroker #CFDTrading #OnlineTrading #FinanceMagnates #TradingPlatforms #MarketInsights

    In this video, we take an in-depth look at @BlueberryMarketsForex , a forex and CFD broker operating since 2016, offering access to multiple trading platforms, over 1,000 instruments, and flexible account types for different trading styles. We break down Blueberry’s regulatory structure, including its Australian Financial Services License (AFSL), as well as its authorisation and registrations in other jurisdictions. The review also covers supported platforms such as MetaTrader 4, MetaTrader 5, cTrader, TradingView, Blueberry.X, and web-based trading. You’ll learn about available instruments across forex, commodities, indices, share CFDs, and crypto CFDs, along with leverage options, minimum and maximum trade sizes, and how Blueberry structures its Standard and Raw accounts. We also explain spreads, commissions, swap rates, swap-free account availability, funding and withdrawal methods, processing times, and what traders can expect from customer support and additional services. Watch the full review to see whether Blueberry’s trading setup aligns with your experience level, strategy, and risk tolerance. 📣 Stay up to date with the latest in finance and trading. Follow Finance Magnates for industry news, insights, and global event coverage. Connect with us: 🔗 LinkedIn: /financemagnates 👍 Facebook: /financemagnates 📸 Instagram: https://www.instagram.com/financemagnates 🐦 X: https://x.com/financemagnates 🎥 TikTok: https://www.tiktok.com/tag/financemagnates ▶️ YouTube: /@financemagnates_official #Blueberry #BlueberryMarkets #BrokerReview #ForexBroker #CFDTrading #OnlineTrading #FinanceMagnates #TradingPlatforms #MarketInsights