The Securities and Exchange Commission is looking into whether exchanges favor large trading companies at the expense of smaller customers, Financial Times reports on its website Sunday, citing people familiar with the investigation. The SEC had been examining how exchange operators, some of which also regulate their customers, manage conflicts of interest faced by hedge funds, high-frequency trading groups, banks and asset managers, the FT says.

Newspaper website: www.FT.com

-Dow Jones Newswires; 212-416-2800

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