On May 5, the Commodity Futures Trading Commission (CFTC) announced that it had issued an Order of Registration to Mercado Mexicano de Derivados, S.A. de C.V. (MexDer), a Foreign Board of Trade (FBOT) and subsidiary of the Mexican Stock Exchange located in Mexico City, Mexico.
Under the order, MexDer’s members and other US participants will be permitted to enter orders directly into MexDer’s trade matching system. MexDer satisfied CFTC requirements for FBOT registration by demonstrating that:
- It possesses the attributes of an established, organized exchange; and
- It is subject to comprehensive oversight by its home country regulator whose supervision is comparable to that which the CFTC applies in its oversight of designated contract markets.
Currently, there are 23 FBOTs registered with the CFTC, inclusive of MexDer’s registration.