The document summarizes new rules issued by the Commodity Futures Trading Commission (CFTC) regarding regulation of retail foreign exchange transactions. Key points include:
1) The CFTC Reauthorization Act of 2008 and Dodd-Frank Act gave the CFTC authority to regulate retail forex and require entities offering retail forex to register.
2) Eligible counterparties for retail forex are now limited to regulated entities like futures commission merchants, retail foreign exchange dealers, US financial institutions, and SEC-registered brokers.
3) The final rules issued by the CFTC require registration of parties involved in retail forex, disclosure documents, recordkeeping, minimum capital requirements, and other standards
The presentation summaries the process to implement uncleared margins CFTC and Prudential Regulators rules to collect collateral daily for OTC products for certain banks.
Grant Thornton - Asset ManagementAdviser: January 2013 Grant Thornton
This discussion outlines the similarities and differences between the treatment of over-the-counter (OTC) derivatives in the United States’ Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) versus the European Union (EU)’s Regulation on OTC Derivatives, Central Counterparties (CCPs) and Trade Repositories (EMIR)— collectively, the acts. This issue of Grant Thornton LLP's Asset ManagementAdviser examines the direct effect the new regulations will have on counterparties that offer OTC derivatives to hedge funds.
The Practical Implementation of Dodd-Frank for End UsersWG Consulting
Jackson Walker, L.L.P. and WG Consulting presented a webinar focused on needs of End Users when implementing a Dodd-Frank Compliance Program. This practical webinar introduces the current landscape of the Dodd-Frank Rules and Regulations, explains the classifications and exceptions, the compliance requirements and the practical steps for achieving compliance. By being lead by experts in deregulated energy transactions and commodity-based financial derivatives as well as seasoned experts on the software and implementation side of Dodd-Frank, this webinar serves as an informative, accurate and practical guide to anyone facing Dodd-Frank Compliance today.
The presentation summaries the process to implement uncleared margins CFTC and Prudential Regulators rules to collect collateral daily for OTC products for certain banks.
Grant Thornton - Asset ManagementAdviser: January 2013 Grant Thornton
This discussion outlines the similarities and differences between the treatment of over-the-counter (OTC) derivatives in the United States’ Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) versus the European Union (EU)’s Regulation on OTC Derivatives, Central Counterparties (CCPs) and Trade Repositories (EMIR)— collectively, the acts. This issue of Grant Thornton LLP's Asset ManagementAdviser examines the direct effect the new regulations will have on counterparties that offer OTC derivatives to hedge funds.
The Practical Implementation of Dodd-Frank for End UsersWG Consulting
Jackson Walker, L.L.P. and WG Consulting presented a webinar focused on needs of End Users when implementing a Dodd-Frank Compliance Program. This practical webinar introduces the current landscape of the Dodd-Frank Rules and Regulations, explains the classifications and exceptions, the compliance requirements and the practical steps for achieving compliance. By being lead by experts in deregulated energy transactions and commodity-based financial derivatives as well as seasoned experts on the software and implementation side of Dodd-Frank, this webinar serves as an informative, accurate and practical guide to anyone facing Dodd-Frank Compliance today.
An article Sia Partners NY produced on the regulatory impact of Volcker 2.0 to Banks. Thanks to my colleagues Chris Pearson and Stephen Perez for authoring this piece.
On, July 17, 2018, the proposed changes were published to the Federal Register which opens up a 60 day window, allowing the industry to provide comments and feedback on the proposed changes. This window will close September 17, 2018. Attached is a summary of the proposed changes as documented in the Federal Register submission.
There is new legislation on the horizon: the Criminal Sanctions for Market Abuse Directive (CSMAD) and the Market Abuse Regulation (MAR), together called MAD II. With the entry into force on 3 July 2016, MAD II is getting close. Because of this, it is necessary to assess the regulation and its impact on your firm.
It’s bigger. It’s tougher. It’s coming into effect on 3 July 2016. It’s the new Market Abuse Regulation (MAR).
MAR widens greatly the scope of instruments and actions subject to anti-market abuse regulations. It also creates a new regime to govern market soundings, and imposes tough new obligations on regulated firms.
We talked through the MAR journey and discussed how it might affect firms.
This webinar explains the many facets of Dodd-Frank rules and regulations and what companies, such as Producer companies, need to know now in order to be compliant. Our seasoned Compliance and Commodities experts describe exactly how the Dodd-Frank rules and rule changes affect Producer companies and what you can do now to mitigate these challenging risks:
--Producers’ Exposure to Dodd-Frank
--Clearing and End-User Exception
--Recordkeeping and Reporting
--Duties of SDs to Non-SD/MSPs – Counterparty Documentation
--Policies, Procedures, and Training
--Exchange Position Limits
--Achieving Compliance
MiFID II/MiFIR in pills: Organised trading facilities_CSL_3Nov17Giovanni Carotenuto
For the purpose of making EU financial markets more transparent and efficient, whilst levelling the playing field between different venues, and attracting under the same regulatory framework all forms of OTC trading, MiFID II/MiFIR has introduced a new trading venue category known as ‘organised trading facility’ (“OTF”) for bonds, structured finance products, emission allowances and derivatives.
Euro shorts 06.11.15 including ESMA consultation on indirect clearing under ...Cummings
Welcome to Euro Shorts, a short briefing on some of the week's developments in the financial services
industry in Europe.
If you would like to discuss any of the points we raise below, please contact me or one of our other lawyers.
WG Consulting and ZE PowerGroup, an award winning data collection, monitoring and visualization firm, have partnered to build and deliver a comprehensive Dodd-Frank software solution to fit the current and upcoming challenges faced by Non-Swap Dealers (non-SD), Swap Dealers (SDs), Major Swap Participants (MSPs) and End-Users. With ZE PowerGroup’s award winning Data Management capabilities and WGC’s deep understanding of compliance requirements, we have built a data retrieving and reporting system, unique to the requirements of the Dodd-Frank Act.
Many of the solutions required for Dodd-Frank compliance require the collection and centralization of data; reporting and mapping of data; and finally the publication of that data to the CFTC, ICE Trade Vault or DTCC on a specific schedule and with the ability to monitor for errors and resend files, if needed. The ZEMA Dodd-Frank software solution can handle all of those challenges with award winning capabilities.
ULTIMOS CUPOS...Gente de Giron y Bucaramanga,no te quedes sin Matricularte para cualquiera de nuestras carreras técnicas #institutotecnicolarioja aprovecha el descuento del 25% en costos educativos convenio fundación huellas en la arena con nuestro instituto técnico la rioja..llama ahora mismo al 6466900 cel 3128915441 ws y no te quedes este 2017 sin estudiar y formate con nosotros para ingresar al mercado laboral
An article Sia Partners NY produced on the regulatory impact of Volcker 2.0 to Banks. Thanks to my colleagues Chris Pearson and Stephen Perez for authoring this piece.
On, July 17, 2018, the proposed changes were published to the Federal Register which opens up a 60 day window, allowing the industry to provide comments and feedback on the proposed changes. This window will close September 17, 2018. Attached is a summary of the proposed changes as documented in the Federal Register submission.
There is new legislation on the horizon: the Criminal Sanctions for Market Abuse Directive (CSMAD) and the Market Abuse Regulation (MAR), together called MAD II. With the entry into force on 3 July 2016, MAD II is getting close. Because of this, it is necessary to assess the regulation and its impact on your firm.
It’s bigger. It’s tougher. It’s coming into effect on 3 July 2016. It’s the new Market Abuse Regulation (MAR).
MAR widens greatly the scope of instruments and actions subject to anti-market abuse regulations. It also creates a new regime to govern market soundings, and imposes tough new obligations on regulated firms.
We talked through the MAR journey and discussed how it might affect firms.
This webinar explains the many facets of Dodd-Frank rules and regulations and what companies, such as Producer companies, need to know now in order to be compliant. Our seasoned Compliance and Commodities experts describe exactly how the Dodd-Frank rules and rule changes affect Producer companies and what you can do now to mitigate these challenging risks:
--Producers’ Exposure to Dodd-Frank
--Clearing and End-User Exception
--Recordkeeping and Reporting
--Duties of SDs to Non-SD/MSPs – Counterparty Documentation
--Policies, Procedures, and Training
--Exchange Position Limits
--Achieving Compliance
MiFID II/MiFIR in pills: Organised trading facilities_CSL_3Nov17Giovanni Carotenuto
For the purpose of making EU financial markets more transparent and efficient, whilst levelling the playing field between different venues, and attracting under the same regulatory framework all forms of OTC trading, MiFID II/MiFIR has introduced a new trading venue category known as ‘organised trading facility’ (“OTF”) for bonds, structured finance products, emission allowances and derivatives.
Euro shorts 06.11.15 including ESMA consultation on indirect clearing under ...Cummings
Welcome to Euro Shorts, a short briefing on some of the week's developments in the financial services
industry in Europe.
If you would like to discuss any of the points we raise below, please contact me or one of our other lawyers.
WG Consulting and ZE PowerGroup, an award winning data collection, monitoring and visualization firm, have partnered to build and deliver a comprehensive Dodd-Frank software solution to fit the current and upcoming challenges faced by Non-Swap Dealers (non-SD), Swap Dealers (SDs), Major Swap Participants (MSPs) and End-Users. With ZE PowerGroup’s award winning Data Management capabilities and WGC’s deep understanding of compliance requirements, we have built a data retrieving and reporting system, unique to the requirements of the Dodd-Frank Act.
Many of the solutions required for Dodd-Frank compliance require the collection and centralization of data; reporting and mapping of data; and finally the publication of that data to the CFTC, ICE Trade Vault or DTCC on a specific schedule and with the ability to monitor for errors and resend files, if needed. The ZEMA Dodd-Frank software solution can handle all of those challenges with award winning capabilities.
ULTIMOS CUPOS...Gente de Giron y Bucaramanga,no te quedes sin Matricularte para cualquiera de nuestras carreras técnicas #institutotecnicolarioja aprovecha el descuento del 25% en costos educativos convenio fundación huellas en la arena con nuestro instituto técnico la rioja..llama ahora mismo al 6466900 cel 3128915441 ws y no te quedes este 2017 sin estudiar y formate con nosotros para ingresar al mercado laboral
Focussing on cytotoxic treatment alone is not enoughinemet
PharmaCon2007 Congress, Dubrovnik, Croatia "New Technologies and Trends in Pharmacy, Pharmaceutical Industry and Education" http://www.pharmacon2007.com
Abstract is available at http://www.pharmaconnectme.com
Potato slicing machine-suitable for all kinds of root vegetable, can process potatoes into slices, strips and chips. The thickness can be adjusted freely.
Insights on Culture of Quality What have I Learned 22 September 2015Ajaz Hussain
Why criticality of CGMPs not widely appreciated as expected by the customer (US FDA)?
What “norms” provide reasons to rationalize cGMP deviations?
How a company can re-build lost credibility? Better option improve credibility?
Commodity Trading Advisor & Commodity Pool Operator 101ManagedFunds
Commodity Trading Advisors (CTA) and Commodity Pool Operators (CPO) have long been vital to the alternative investment industry. The presentation allows those new to the alternative investment industry to better understand how CTAs and CPOs function, how they are regulated, and how the Dodd-Frank legislation and recent CFTC rulemakings have affected these entities.
Week 7 - Legal Issues in Blockchain and CryptocurrenciesRoger Royse
Instructor: Roger Royse, Founder of Royse Law Firm
Course Title: The Business Basics of Blockchain, Cryptocurrencies, and Tokens
Location: Stanford Continuing Studies
Week: 7 (of 7)
The seventh session will examine legal issues in blockchain applications. We will discuss the legal structure of an initial coin or security coin offering (ICO) in the US and globally, including the rules governing the sale of securities in the US. We will overview patent and intellectual property (IP) issues in blockchain and licensing agreements that provide protection to inventors while making resources available for open innovation.
WG Consulting held an early morning breakfast seminar at the Houston Junior League to discuss the Dodd-Frank Compliance landscape as it currently stands as is expected to shape out--and how that effects energy businesses of all sizes today.
Dodd-Frank Act: Corporate Governance Checklist for Commercial End-UsersLexisNexis
This checklist is a corporate governance tool for certain nonfinancial entities that wish to elect the commercial end-user exception to the clearing requirements under Title VII of the Dodd-Frank Act. Checklist courtesy of Lexis Practice Advisor, Securities & Capital Markets.
EXTENT-2015: MiFID II Projected Impact on Trading TechnologyIosif Itkin
MiFID II / MiFIR: Projected Impact on Trading Technology and QA Challenges
Pavel Sigov, Exactpro, Moldova
11 Nov 2015
EXTENT Trading Technology Trends & Quality Assurance Conference in St.Petersburg, Russia
Legal shorts 05.12.14 including Chancellor’s 2014 Autumn statement and FCA up...Cummings
Welcome to Legal Shorts, a short briefing on some of the week’s developments in the financial services industry.
If you would like to discuss any of the points we raise below, please contact me or one of our other lawyers.
The staff of the Board of Governors of the Federal Reserve System (“FRB”), Federal Deposit Insurance Corporation (“FDIC”), National Credit Union Administration (“NCUA”), Office of the Comptroller of the Currency (“OCC”), Office of Thrift Supervision (“OTS”) (collectively the “Federal Financial Institution Regulatory Agencies”) and the Federal Trade Commission (“FTC”) (collectively “Agencies”) have developed these frequently asked questions (“FAQs”) to assist financial institutions, creditors, users of consumer reports, and card issuers in complying with the final rulemaking on Identity Theft Red Flags and Address Discrepancies implementing section 114 of the Fair and Accurate Credit Transactions Act of 2003 (FACT Act)
As a business owner in Delaware, staying on top of your tax obligations is paramount, especially with the annual deadline for Delaware Franchise Tax looming on March 1. One such obligation is the annual Delaware Franchise Tax, which serves as a crucial requirement for maintaining your company’s legal standing within the state. While the prospect of handling tax matters may seem daunting, rest assured that the process can be straightforward with the right guidance. In this comprehensive guide, we’ll walk you through the steps of filing your Delaware Franchise Tax and provide insights to help you navigate the process effectively.
Attending a job Interview for B1 and B2 Englsih learnersErika906060
It is a sample of an interview for a business english class for pre-intermediate and intermediate english students with emphasis on the speking ability.
Personal Brand Statement:
As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Enterprise Excellence is Inclusive Excellence.pdfKaiNexus
Enterprise excellence and inclusive excellence are closely linked, and real-world challenges have shown that both are essential to the success of any organization. To achieve enterprise excellence, organizations must focus on improving their operations and processes while creating an inclusive environment that engages everyone. In this interactive session, the facilitator will highlight commonly established business practices and how they limit our ability to engage everyone every day. More importantly, though, participants will likely gain increased awareness of what we can do differently to maximize enterprise excellence through deliberate inclusion.
What is Enterprise Excellence?
Enterprise Excellence is a holistic approach that's aimed at achieving world-class performance across all aspects of the organization.
What might I learn?
A way to engage all in creating Inclusive Excellence. Lessons from the US military and their parallels to the story of Harry Potter. How belt systems and CI teams can destroy inclusive practices. How leadership language invites people to the party. There are three things leaders can do to engage everyone every day: maximizing psychological safety to create environments where folks learn, contribute, and challenge the status quo.
Who might benefit? Anyone and everyone leading folks from the shop floor to top floor.
Dr. William Harvey is a seasoned Operations Leader with extensive experience in chemical processing, manufacturing, and operations management. At Michelman, he currently oversees multiple sites, leading teams in strategic planning and coaching/practicing continuous improvement. William is set to start his eighth year of teaching at the University of Cincinnati where he teaches marketing, finance, and management. William holds various certifications in change management, quality, leadership, operational excellence, team building, and DiSC, among others.
Remote sensing and monitoring are changing the mining industry for the better. These are providing innovative solutions to long-standing challenges. Those related to exploration, extraction, and overall environmental management by mining technology companies Odisha. These technologies make use of satellite imaging, aerial photography and sensors to collect data that might be inaccessible or from hazardous locations. With the use of this technology, mining operations are becoming increasingly efficient. Let us gain more insight into the key aspects associated with remote sensing and monitoring when it comes to mining.
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
Discover the innovative and creative projects that highlight my journey through Full Sail University. Below, you’ll find a collection of my work showcasing my skills and expertise in digital marketing, event planning, and media production.
"𝑩𝑬𝑮𝑼𝑵 𝑾𝑰𝑻𝑯 𝑻𝑱 𝑰𝑺 𝑯𝑨𝑳𝑭 𝑫𝑶𝑵𝑬"
𝐓𝐉 𝐂𝐨𝐦𝐬 (𝐓𝐉 𝐂𝐨𝐦𝐦𝐮𝐧𝐢𝐜𝐚𝐭𝐢𝐨𝐧𝐬) is a professional event agency that includes experts in the event-organizing market in Vietnam, Korea, and ASEAN countries. We provide unlimited types of events from Music concerts, Fan meetings, and Culture festivals to Corporate events, Internal company events, Golf tournaments, MICE events, and Exhibitions.
𝐓𝐉 𝐂𝐨𝐦𝐬 provides unlimited package services including such as Event organizing, Event planning, Event production, Manpower, PR marketing, Design 2D/3D, VIP protocols, Interpreter agency, etc.
Sports events - Golf competitions/billiards competitions/company sports events: dynamic and challenging
⭐ 𝐅𝐞𝐚𝐭𝐮𝐫𝐞𝐝 𝐩𝐫𝐨𝐣𝐞𝐜𝐭𝐬:
➢ 2024 BAEKHYUN [Lonsdaleite] IN HO CHI MINH
➢ SUPER JUNIOR-L.S.S. THE SHOW : Th3ee Guys in HO CHI MINH
➢FreenBecky 1st Fan Meeting in Vietnam
➢CHILDREN ART EXHIBITION 2024: BEYOND BARRIERS
➢ WOW K-Music Festival 2023
➢ Winner [CROSS] Tour in HCM
➢ Super Show 9 in HCM with Super Junior
➢ HCMC - Gyeongsangbuk-do Culture and Tourism Festival
➢ Korean Vietnam Partnership - Fair with LG
➢ Korean President visits Samsung Electronics R&D Center
➢ Vietnam Food Expo with Lotte Wellfood
"𝐄𝐯𝐞𝐫𝐲 𝐞𝐯𝐞𝐧𝐭 𝐢𝐬 𝐚 𝐬𝐭𝐨𝐫𝐲, 𝐚 𝐬𝐩𝐞𝐜𝐢𝐚𝐥 𝐣𝐨𝐮𝐫𝐧𝐞𝐲. 𝐖𝐞 𝐚𝐥𝐰𝐚𝐲𝐬 𝐛𝐞𝐥𝐢𝐞𝐯𝐞 𝐭𝐡𝐚𝐭 𝐬𝐡𝐨𝐫𝐭𝐥𝐲 𝐲𝐨𝐮 𝐰𝐢𝐥𝐥 𝐛𝐞 𝐚 𝐩𝐚𝐫𝐭 𝐨𝐟 𝐨𝐮𝐫 𝐬𝐭𝐨𝐫𝐢𝐞𝐬."
RMD24 | Debunking the non-endemic revenue myth Marvin Vacquier Droop | First ...BBPMedia1
Marvin neemt je in deze presentatie mee in de voordelen van non-endemic advertising op retail media netwerken. Hij brengt ook de uitdagingen in beeld die de markt op dit moment heeft op het gebied van retail media voor niet-leveranciers.
Retail media wordt gezien als het nieuwe advertising-medium en ook mediabureaus richten massaal retail media-afdelingen op. Merken die niet in de betreffende winkel liggen staan ook nog niet in de rij om op de retail media netwerken te adverteren. Marvin belicht de uitdagingen die er zijn om echt aansluiting te vinden op die markt van non-endemic advertising.
What is the TDS Return Filing Due Date for FY 2024-25.pdfseoforlegalpillers
It is crucial for the taxpayers to understand about the TDS Return Filing Due Date, so that they can fulfill your TDS obligations efficiently. Taxpayers can avoid penalties by sticking to the deadlines and by accurate filing of TDS. Timely filing of TDS will make sure about the availability of tax credits. You can also seek the professional guidance of experts like Legal Pillers for timely filing of the TDS Return.
Affordable Stationery Printing Services in Jaipur | Navpack n PrintNavpack & Print
Looking for professional printing services in Jaipur? Navpack n Print offers high-quality and affordable stationery printing for all your business needs. Stand out with custom stationery designs and fast turnaround times. Contact us today for a quote!
3.0 Project 2_ Developing My Brand Identity Kit.pptxtanyjahb
A personal brand exploration presentation summarizes an individual's unique qualities and goals, covering strengths, values, passions, and target audience. It helps individuals understand what makes them stand out, their desired image, and how they aim to achieve it.
3.0 Project 2_ Developing My Brand Identity Kit.pptx
Questions and Answers Regarding Final Retail Foreign Exchange Rule
1. Commodity Futures Trading Commission ♦ Office of Public Affairs ♦ 202-418-5080
Commodity Futures Trading Commission
Office of Public Affairs
Three Lafayette Centre
1155 21st Street, NW
Washington, DC 20581
www.cftc.gov
Questions and Answers Regarding Final Retail Foreign Exchange Rule
What is a “retail forex transaction?”
A retail forex transaction is one between an eligible counterparty and a retail customer. Generally, retail customers
are:
• Individuals with less than $10 million in total assets, or less than $5 million in total assets if entering into the
transaction to manage risk, and who are not registered as futures or securities professionals;
• Companies, other than financial institutions and investment companies, with less than $10 million in total
assets, or a net worth less than $1 million if entering into the transaction in connection with the conduct of
their businesses; and
• Commodity pools that have less than $5 million in total assets.
How do the CFTC Reauthorization Act and Dodd-Frank Act affect the way retail forex transactions
are regulated?
Prior to the passage of the CFTC Reauthorization Act of 2008 (CRA), which modifies the Commodity Exchange
Act (CEA), the CEA required that, in order to offer to serve as a counterparty to a retail forex transaction, an entity
had to be one of several regulated entities, such as a financial institution, an SEC-registered broker or dealer, an
insurance company, a financial holding company, an investment bank or a CFTC-registered futures commission
merchant (FCM). While the CFTC had the authority to pursue fraud actions against CFTC registrants and those
forex entities that were not otherwise regulated, it had no statutory authority to write rules governing the activity.
The CRA amended the CEA and provided the Commission with authority to write and enforce the rules and
regulations necessary to effectuate any of the provisions of the Act in connection with off-exchange retail foreign
currency futures, options, and options on futures, as well as leveraged off-exchange forex contracts offered to or
entered into with retail customers. The CFTC was also given authority to write and enforce rules regarding
registration of those who solicit, exercise discretionary trading authority or operate (or solicit funds for) pools in
connection with any of these types of transactions.
The Dodd-Frank Wall Street Reform and Consumer Protection Act, enacted on July 21, 2010, further modified the
CEA in a number of ways. It requires that all off-exchange retail foreign currency transactions be done pursuant to
the rules of a Federal regulatory agency. It also requires that unless Federal regulators prepare rules regarding off-
exchange retail forex transactions within specified time periods, the transactions are prohibited. If any Federal
regulatory agency had already proposed such rules prior to the enactment of the Dodd-Frank Act – as had the
CFTC – the agency has 90 days following enactment to adopt final rules, or the same prohibition takes effect.
The Dodd-Frank Act directs Federal regulators to prescribe appropriate requirements with respect to:
Disclosure;
• Recordkeeping;
• Capital and margin;
• Reporting;
2. 2
Commodity Futures Trading Commission ♦ Office of Public Affairs ♦ 202-418-5080
• Business conduct;
• Documentation; and
• Such other standards or requirements as the Federal regulatory agency shall determine to be necessary.
For the CFTC, the Dodd-Frank Act reconfirms the Commission’s authority to regulate off-exchange retail forex
transactions and establishes a date – October 19, 2010 – by which final rules must be in place. For other Federal
regulators whose regulatees are expressly permitted to serve as counterparties (such as United States financial
institutions and broker dealers), it requires the preparation of similar rules or such transactions by their regulatees
are prohibited.
Who can offer off-exchange forex transactions to retail customers?
Prior to the passage of the CRA, the CEA required that, to offer to serve as a counterparty to an off-exchange retail
forex transaction, an entity had to be one of several regulated entities, such as:
• Financial institutions,
• SEC-registered brokers or dealers (or their affiliates),
• Insurance companies,
• Financial holding companies,
• Investment bank holding companies, or
• CFTC-registered FCMs (or their affiliates).
The CRA retained this “regulated entity” requirement with one significant addition: retail foreign exchange dealers
(RFEDs) – were added to the list of entities permitted to serve as counterparties. RFEDs are a new category of
CFTC-registered entity created by the CRA.
The Dodd-Frank Act further modifies the list of eligible counterparties by eliminating insurance companies and
investment bank holding companies. Moreover, where the list of eligible counterparties previously included
“financial institutions,” the Dodd-Frank Act specifically provides that among financial institutions, only United
States financial institutions are permitted to act as counterparties.
What is the scope of the CFTC’s jurisdiction with regard to off-exchange forex transactions?
While the CEA permits several types of entities to act as counterparties to retail forex transactions, the question of
who regulates the activity depends on the type of entity offering to be the counterparty. For example, SEC-
registered brokers or dealers doing retail forex transactions are regulated by the SEC and financial institutions are
regulated by banking regulators. The CEA provides that the CFTC has jurisdiction over FCMs, RFEDs, or entities
that are not otherwise regulated.
None of the provisions of the CRA affect forex futures or options traded on exchanges, so trading of foreign
currency futures and options on organized exchanges continues to be permitted under existing rules. Similarly,
transactions entered into by sophisticated parties (i.e., transactions on the inter-bank market), or conducted through
foreign exchange windows (where customers exchange one currency for another) are unaffected by the provisions
of the CRA.
3. 3
Commodity Futures Trading Commission ♦ Office of Public Affairs ♦ 202-418-5080
What do the rules require?
Following the CRA’s and Dodd-Frank Act’s mandates, the CFTC has adopted final rules applicable to off-exchange
retail forex transactions and the entities that offer, solicit, provide advice regarding, or operate pools involving such
transactions. The final rules are based, in large part, on the CFTC’s existing regulations for commodity interest
transactions and commodity interest intermediaries, as well as rules of the National Futures Association (NFA) that
are already in effect with respect to retail forex transactions offered by NFA’s members. Broadly speaking, the final
rules require:
• Registration of various parties engaging in retail forex business,
• Distribution of disclosure documents to customers and potential customers regarding risk and potential
conflicts of interest,
• Making and keeping of various records,
• Maintenance of prescribed minimum amounts of capital, and
• Trading and operational standards.
Who has to register under the new regulations?
Entities that wish to serve as counterparties to off-exchange retail forex transactions – and that are not among the
otherwise regulated entities enumerated in the CEA – will have to register with the CFTC either as FCMs or
RFEDs.
• Those that wish to engage in retail forex transactions, but would be primarily or substantially involved in on-
exchange business, will be required to register as FCMs.
• Those that will serve primarily as retail forex counterparties are required to register as RFEDs.
Additionally, for the first time, entities other than RFEDs and FCMs that intermediate retail forex transactions will
be required to register with the CFTC, as applicable, as introducing brokers (IBs), commodity trading advisors
(CTAs), commodity pool operators (CPOs) or associated persons (APs) of such entities.
What are the financial requirements and to whom do they apply?
The new rules implement the $20 million minimum net capital standard established in the CRA for those registering
as RFEDs or offering retail forex transactions as FCMs. The capital requirement includes an additional volume-
based minimum capital amount calculated on the amount an FCM or RFED owes as counterparty to retail forex
transactions.
Do the new rules have a leverage requirement?
The proposed rules included a requirement that FCMs and RFEDs serving as counterparties in off-exchange forex
transactions collect from retail customers a security deposit of 10 percent of the notional value of the transaction.
This requirement has often been referred to as a “10 to 1 leverage” requirement.
The leverage requirement in the proposed rule has been replaced in the final rules with a mechanism whereby the
Commission sets parameters (the release specifies a minimum 2 percent security deposit in the case of major
currencies and 5 percent of the notional value of the transaction for all other currencies) and the Commission
periodically reviews the appropriateness of those parameters. NFA is authorized to set specific security deposit
levels within those parameters, and is required to review periodically and adjust as necessary both the particular
4. 4
Commodity Futures Trading Commission ♦ Office of Public Affairs ♦ 202-418-5080
security deposit levels and the designation of which currencies are “major” currencies, in light of such factors as
changes in volatility.
Are there other areas where the final rules are significantly different from the proposed rules?
The other major difference between the proposed rules and the final rules concerns IBs. The proposed rules
included a requirement that a person who registers as an IB to introduce retail forex accounts must be guaranteed
by a registered FCM or RFED (and that the IB could be guaranteed by only one FCM or RFED). This proposal
has been replaced in the final rules with the same requirement that currently applies to IBs who introduce futures
and commodity interest accounts. Thus, a forex IB may choose either to meet the minimum net capital
requirements applicable to futures and commodity options IBs, or to enter into a guarantee agreement with an FCM
or an RFED.
When do the rules become final?
The rules are effective as of October 18, 2010.