CIBC World Markets Corp has agreed to pay a fine of $425,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

Between April 2019 and September 2025, CIBC failed to report, or inaccurately reported, OTC options positions to the Large Options Positions Reporting (LOPR) in 1,418,430 instances.

Therefore, CIBC violated FINRA Rules 2360(b)(5) and 2010.

Between April 2019 and July 2025, CIBC failed to establish and maintain a supervisory system, including written procedures, reasonably designed to achieve compliance with FINRA Rule 2360. CIBC monitored the creation and submission of its LOPR reporting on a daily basis, including monitoring for rejected positions, but the firm did not have a supervisory process for ensuring the accuracy and completeness of its LOPR reporting.

Further, CIBC had no supervisory process to ensure its internal queue of quarantined trades was reviewed to identify and report LOPR-reportable positions. As a result, CIBC failed to identify the above inaccuracies in its LOPR reporting for more than six years, and it failed to review and report quarantined transactions missing a Tax ID number for almost two years.

CIBC has taken several corrective steps.

First, in November 2022, the firm updated its written supervisory procedures to require daily oversight of its internal queue of quarantined trades.

Second, in January 2025, CIBC hired an employee to build and manage processes for secondary oversight of LOPR reporting.

Third, in July 2025, the firm implemented a new written supervisory procedure governing daily reconciliation of the firm’s LOPR submissions with its trading records to ensure accuracy and completeness in LOPR reporting.

By failing to establish and maintain a supervisory system, including written procedures, reasonably designed to achieve compliance with FINRA Rule 2360, CIBC violated FINRA Rules 3110 and 2010.

In addition to the $425,000 fine, the firm has agreed to a censure.