Interactive Brokers (NASDAQ:IBKR) experienced losses of approximately $48 million, including on certain hedge transactions, after the New York Stock Exchange (NYSE) denied its claims for compensation related to the June 3 trading disruption.
The NYSE, in conjunction with other U.S. stock exchanges, decided not to act on Interactive Brokers LLC’s petition concerning clearly erroneous executions.
The petition addressed market buy orders on June 3, after about 9:50 am EDT, when the price of Berkshire Hathaway (NYSE:BRKa) Class A (BRK.A) shares abruptly dropped from around $622,000 to about $185 per share.
Interactive Brokers chose to assume a substantial portion of these trades to accommodate its customers.
“The Company is continuing to consider its options with respect to recovery of these amounts, including any claims at law it could assert against NYSE or related entities,” Interactive Brokers said in a notice.
It also does not believe that the losses will leave a material impact on its financial condition.