During the late Russian Empire (about 211-476 CE), May or “mayovka” literally referred to a picnic in the countryside in the early days of the month.
Will complying with NFA Anti-Money Laundering regulation changes be a “picnic in the countryside” for registrants? Under the changes FCMs and IBs must identify, and be able to verify the identity of the beneficial owners of legal entity customers opening new accounts after the effective date of the rule change, May 11, 2018. Additionally, FCMs and IBs must include risk-based ongoing Customer Due Diligence (CDD) procedures in their AML programs.
Many FCMs began modifying systems and requirements to implement these changes from approximately August, 2016 when they were announced by FinCEN, so for many IBs, rule change will not cause difficulties. Contact your FCM for assistance in understanding the requirement and implementation.
Also on May 11, NFA issued a Notice to Members regarding a FinCEN Advisory on the FATF-identified jurisdictions with AML/CFT deficiencies. Members should review this Advisory on FinCEN’s website in order to ensure their AML programs are up to date.
FIA held its “Listed Derivatives for the Retail Market” event May 14. The program focused on market structure, access and technology issues alongside products and opportunities using futures and options by retail market participants. Panelists included representatives from the FIA, CFTC, CME Group and several NIBA member firms. For summary information, contact the FIA.
NFA will hold its spring board meeting followed by its Washington Reception on May 17. Mike Burke, current NIBA President and IIB representative to NFA’s board and I will attend. Mike and I will also visit with the CFTC among others while we are in D.C. A summary of our meetings will post in next month’s newsletter.
Planning has begun for our 5th Annual NIBA/DePaul University Summer Symposium, scheduled for August 8. This year’s planning committee is headed by Tom Sandy -- contact him if you have a program suggestion, ts@ricedairy.com. Registration for the event is open now.
Best, Melinda
Melinda Schramm, Founder & Chairman
