Selling CPOs - broker dealer?

Discussion in 'Professional Trading' started by heech, Mar 16, 2010.

  1. heech



    I have a question about the registration requirements for anyone that may help me in raising funds for my CPO.

    I have some friends/former colleagues who now work with high net worth individuals. They believe they can raise some money for me, and not too hard for us to agree on terms (in terms of % of fees) as commission for them.

    But... are there registration requirements? Is it true that they have to be registered with the SEC or FINRA as a broker/dealer to earn commissions on this?

    How do introducing brokers get away with it? Is there some sort of exception for CTAs/CPOs?