UBS Securities LLC has agreed to pay a fine of $32,500 as a part of a settlement with The Nasdaq Stock Market LLC.

Between August 29, 2023 and July 16, 2025 (the “Review Period”), UBS maintained market access controls that were not reasonably designed to prevent the entry of erroneous orders in warrants because those instruments are not subject to Limit Up/Limit Down (“LULD”) bands.

Specifically, the firm’s control environment included an antiredundancy logic under which an order that had been paused and reviewed by UBS personnel at the parent-order level for one or more price or size controls would not trigger additional downstream controls at the child-order level.

Although securities covered by the LULD Plan were subject to an additional LULD-based control, warrants were not.

The Limit Up/Limit Down (LULD) Plan is an SEC-approved market mechanism designed to prevent trades in NMS Stocks from occurring outside specified price bands, which are set at a percentage level above and below the average reference price of a security over the preceding five-minute period.

Accordingly, the firm’s market access controls did not include an additional automated control applicable to certain warrant orders once released following review by firm personnel.

Based on the foregoing, the firm violated Section 15(c)(3), Rules 15c3-5(b) and 15c3-5(c)(1)(ii) thereunder, and Nasdaq Rule General 9, Sections 1(a) and 20(a).

The firm has agreed to a censure in addition to the $32,500 fine.