FINRA Fines CODA Markets $210,000 for Rule 605 Reporting Failures

CODA Markets, Inc has agreed to pay a $210,000 fine as part of a settlement with the Financial Industry Regulatory Authority (FINRA), the regulator said. The firm also accepted a censure.

According to FINRA, CODA published 21 inaccurate monthly reports of executions of covered orders in NMS securities required under Rule 605 of Regulation NMS between June 2023 and September 2025.

From June 2023 through February 2024, a vendor’s coding error caused CODA to publish nine reports that included misclassified orders. Then, from October 2024 through September 2025, the firm published 12 reports that incorrectly included orders that were not reportable under Rule 605.

FINRA said these failures violated Rule 605 of Regulation NMS and FINRA Rule 2010. During the same period, CODA also failed to establish and maintain a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with Rule 605. Specifically, the firm lacked reasonable systems and procedures for reviewing the accuracy of its Rule 605 reports, resulting in violations of FINRA Rules 3110(a), 3110(b), and 2010.

CODA has been a FINRA member since May 1994. Headquartered in Wilmette, Illinois, the firm employs approximately 10 registered representatives and maintains one branch. It operates an alternative trading system (ATS) and offers execution and routing services to broker-dealers and institutional customers, among other services.