Dear Members -
The past three weeks have been the most frustrating, the most confusing, the most disappointing weeks I’ve spent in the 35 years I’ve been in the futures industry. Many NIBA members are suffering financial hardships due to MF Global’s failure and bankruptcy, and the process for recovery appears to be lengthy.
The NIBA has received hundreds of phone and email messages both from members who are directly affected, and from those who are not. Here’s what we’ve done so far in your behalf:
- Submitted a Petition which included 700 signatures collected online in about 72 hours directly to the Bankruptcy Court calling for the immediate distribution of segregated funds.
- Attended Court and Trustee meetings in New York by representation of our Association legal advisors.
- Organized numerous meetings and communications with other industry professionals including the NFA, CFTC, FIA, CME and ICE.
- Voiced the Association’s opinions in interviews with various media outlets such as the Financial Times, Futures Magazine, Forbes and the Wall Street Journal.
- Allocated a responsible sum from NIBA funds from memberships and conference fees to pay for expenses directly incurred in responding to the crisis.
NIBA’s immediate concerns are the same as your individual concerns. Customers’ interests such as segregated funds and a clear understanding of their account specifics, must come first. As these issues begin to sort out, the Association can turn its focus to strictly broker-related concerns, including rightfully earned commissions. We will continue to have representation on the Trustee’s Committee. The NFA and both our IB representatives on the NFA Board of Directors have contributed articles in this issue to help you understand what they are doing, and what you can do during this mess.
The NIBA is a membership association with limited financial resources. Some of our members are, and will continue to be, severely affected by MFG’s failure, other members will not feel the chaos and hardship of the bankruptcy so directly. But, for now we are all in this together.
Warm regards,
Melinda
melinda@futuresrep.com
