CFTC Proposes New Rules Regarding Account Ownership and Control Information
Co-authored by Christian B. Hennion
The Commodity Futures Trading Commission has proposed to issue new regulations under which the CFTC would collect account ownership and control information on a weekly basis from reporting entities from designated contract markets (DCMs), exempt commercial markets (ECMs) that list significant price discovery contracts, and foreign boards of trade that provide direct access to U.S. market participants. The CFTC Notice follows an Advanced Notice of Proposed Rulemaking on the same topic that was published for comment in July 2009, and incorporates certain changes made in response to comments received on the Advance Notice. Under the proposed rules, various account ownership and control information, including identifying and contact information with respect to both beneficial owners and account controllers, whether the account is traded pursuant to an automated system, the executing and clearing brokers, and an indication of whether the account is a firm omnibus account, will be collected by the CFTC via an account Ownership and Control Report.
The comment period for the Notice of Proposed Rulemaking will end 60 days after the publication of the Notice in the Federal Register. A copy of the Notice is available here.
