CFTC Staff Planning Rule On FCM Receipt of Single Margin Payments

Staff of the Commodity Futures Trading Commission said that it was planning to recommend a rule proposal to address the receipt of customer margin funds by futures commission merchants (CFTC No-Action Letter No. 14-131, 10/30/14).

Also on Oct. 30, it extended existing no-action relief from certain related margin entry booking requirements.

At issue are customer protection rules that prohibit FCMs from commingling customer funds meant to margin transactions on designated contract markets with customer funds meant to margin foreign futures and options transacted on foreign boards of trade, or with margin for cleared swaps transactions. The rules, however, do not ...