NFA Compliance Rule 2-29
RULE 2-29. COMMUNICATIONS WITH THE PUBLIC AND PROMOTIONAL MATERIAL.
(a) General Prohibition.
No Member or Associate shall make any communication with the public which:
(1) operates as a fraud or deceit;
(2) employs or is part of a high-pressure approach; or
(3) makes any statement that futures trading is appropriate for all persons.
NFA Proposes New Compliance Rule 2-43 for Forex Dealer Members
(www.forexlawblog.com) Today the NFA proposed a completely new compliance rule for Forex Dealer Members. The proposed new Compliance Rule 2-43 Forex Orders has two essential parts: (1) a requirement that FDMs cannot cancel customer orders except in certain circumstances, and (2) a requirement that no single account can contain offsetting positions in the same currency [...]
NFA Proposes Additions to Forex Compliance Rules
(www.forexlawblog.com) Today the NFA proposed additions to its compliance rules for NFA Members and Associated Persons who deal with off-exchange foreign currency transactions. There were four central changes which were proposed:
Forex Law Question – Forex Managers and the Series 7 Exam
Question: If I trade spot forex in a fund structure, do I need a Series 7 exam license?
Answer: If a hedge fund manager trades in the spot off-exchange foreign currency (forex) markets and is not associated with a broker dealer, then the investment activities of the manager do not require a series 7 exam license.
NFA Revises Notice Impacting Forex Dealer Members
The NFA has proposed revisions to Interpretive Notice to Compliance Rule 2-36(e) regarding Supervision of the Use of Electronic Trading Systems. While these revisions are generally customer/investor friendly, they do not seem to be unreasonable and probably would mirror industry best practices. Forex Dealer Members (FDMs) will need to implement the new revisions as soon [...]
NFA Changes Compliance Rule for Forex CPOs and Forex CTAs
The NFA announced that they are repropsing NFA Compliance Rules 2-41 and 2-42 to make it harder for forex pools to be “eligible contract participants” and therefore out of the NFA purview. The proposed amendments will be effective upon 10 days notice to the CFTC unless the CFTC opposes the changes. The release is reprinted [...]
Forex Hedge Fund Marketing - Discussing a Forex Hedge Fund with Potential Investors
Forex managers who wish to market their hedge funds will have a variety of different options for their hedge fund marketing campaign. The manager may with to establish a forex website for his investors, submit the fund’s results to a forex database, and network with potential forex investors through various industry events. Any such marketing [...]
Introducing Brokers and Forex Introducing Brokers
Definition of Introducing Broker
The term “introducing broker” is defined in the Commodities Exchange Act:
The term “introducing broker” means any person (except an individual who elects to be and is registered as an associated person of a futures commission merchant) engaged in soliciting or in accepting orders for the purchase or sale of any commodity for [...]
CFTC v. Frankwell
U.S. 9th Circuit Court of Appeals
CFTC v FRANKWELL
Argued and Submitted September 17, 1996–San Francisco, California
Filed October 29, 1996
OPINION
CHOY, Circuit Judge:
Plaintiff-appellant Commodity Futures Trading Commission (”CFTC”) appeals the summary judgment granted in favor of defendant-appellee Frankwell Bullion, Ltd. and its affiliates (”Frankwell”). The district court held that Frankwell was exempted from the jurisdiction of the CFTC [...]
CFTC Appeals Frankwell Bullion Ltd., Et. Al. Decision
Release:#3981-96
For Release:December 13, 1996
CFTC Appeals Frankwell Bullion Ltd., Et. Al. Decision
The Commodity Futures Trading Commission today filed a petition requesting the full U.S. Court of Appeals for the Ninth Circuit to rehear an October 29 decision by a panel of the Court dismissing, for lack of