Post-MF Global Recommendations from the National Grain and Feed Association

Discussion in 'Wall St. News' started by Options12, Apr 5, 2012.

  1. Options12

    Options12 Guest

    NGFA's recommendations included:

    - Daily reporting of segregated fund investments and positions by futures commission merchants (FCMs).

    - More detailed and frequent audits of FCM reports, including "unannounced spot checks" of FCMs.

    - A "rigorous review" of FCM and broker-dealer capital requirements by CFTC

    - Scrutiny by CFTC of the practice of double-counting such required capital when a firm operates as both an FCM and a broker-dealer.

    - Specific signed and transparent documents from FCM executives when segregated customer funds are moved to non-customer accounts in order to "assign accountability and to aid in establishing that fraudulent activity has occurred."