Outset Global Trading FINRA fine reached $130,000 after FINRA said the broker-dealer failed to build an AML program that could spot and report suspicious trades over four years.
FINRA also censured the New York-based firm, according to a Letter of Acceptance, Waiver and Consent. The regulator said Outset acted as an outsourced trading desk for U.S. and foreign institutional clients from January 2022 to December 2025. During that time, the firm handled equities and options trades, including deals in thinly traded, low-priced stocks.
Outset Global Trading FINRA Fine Details
FINRA said the firm’s written AML program missed red flags tied to its business. Those signs included possible insider trading, market manipulation, pump-and-dump activity, and trading that made up a large share of daily volume in thinly traded names. As a result, the regulator said the program was not reasonably designed for the firm’s risks.
From 2022 through July 2024, Outset used a manual review of its daily trade blotter for AML checks. However, FINRA said that process fell short as the business expanded. The regulator said the manual review could not find suspicious trading patterns across accounts or over several days.
Surveillance Gaps Ran Into 2025
Outset added an automated surveillance system in August 2024. However, FINRA said the tool did not include options trades until December 2025. It also said the system’s market dominance settings were too broad to catch meaningful activity.
FINRA added that one customer traded securities on the same day that customer published research reports on those issuers. The regulator said Outset failed to spot that red flag. Later, the firm revised its AML compliance program in January 2025 and updated its surveillance system in December 2025.
Outset agreed to FINRA’s findings without admitting or denying them.
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