hi guys, I've got a CTA and I've got connection with a broker based out of Dubai. They like my performance and strategy etc and want to introduce me to their investor. Problem: I can't open an account with them because I'm a US national. I understand the regulatory requirement is that anyone foreign company doing business with a company (my company) that is monitored by NFA must also be registered with NFA. They are not registered with NFA. Anyone know if there is a solution to this? There has to be a way to make some LLC or something or build a partnership to side step this problem?
To be more specific, as a NFA registered CTA, are looking for a legal way to fee share with them for making introductions? I do not understand why you would have to fund an account in their country.
If their customers are not US-based, why can't you just trade through a POA over a block account with their choice if clearing? The fact that they force you to open an account is puzzling. No clearing/broker forces a CTA to open an account if you have an established track record documented in a disclosure document. There must be other variables you might not have mentioned.
have your block account at a US based clearing firm and complete a give-up agreement for the account held at the foreign introducing broker.