CFTC must protect commodities customers: ISRI
Dec 07, 2012 | 01:25 PM
| Barbara O'Donovan
Tags
ISRI,
CFTC,
MF Global,
commodities,
futures commission merchants,
Barbara O'Donovan
NEW YORK — The Institute of Scrap Recycling Industries has asked the Commodity Futures Trading Commission (CFTC) to give commodities customers the option to opt out of granting futures commission merchants access to their funds for investment purposes.
In order to open a commodity trading account with a particular futures commission merchant, a customer currently must comply with a clause in the agreement that allows merchants to use client funds at their own discretion, according to a letter from ISRI. "Allowing (a futures commission merchant) unfettered use of customer funds without a mechanism for such funds to be guaranteed or insured exposes those customer funds to risk of loss."....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute — no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Subscribe Now
Click Here
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.
Take a Free trial
Click Here