NIBA Journal

Insights, analysis, and updates from the National Introducing Brokers Association

July 13, 2017

Chairman's Letter - July 2017

“Taking it to a Whole ‘Nother Level” - Eugene Struthers (2004-2009) Keegan-Michael Key, American writer and actor uttered this famous phrase in character as “Eugene Struthers” on the late night comedy show MadTV each time he expressed his very passionate desire to know more about a person or subject. At the 4th Annual NIBA/DePaul University Joint Symposium, we’ll be taking it to a whole ‘nother level with three business sessions presented by nine industry experts. The Symposium, July 20 from 1:30-6:30pm at the Chicago downtown campus of DePaul University is free for all registered derivatives professionals. Space is limited; advance registration is required. (LINK Here) We’re very excited to have John Lothian, Executive Chair and co-founder of MarketsWiki kick-off the event with his Keynote speech entitled “Brexit & Other Extraordinary Popular Delusions.” If you are wondering how Brexit will affect your FCM and by extension, your business, you cannot afford...

John Lothian Keynote Speaker Preview

John Lothian's keynote speech at the NIBA-DePaul Symposium is titled "Brexit and other Extraordinary Popular Delusions." The former Introducing Broker and longtime newsletter publisher will reflect on the potential impact of Brexit and other macro influences on the industry and markets. If you have not already registered please do so at the following link and keep in mind there is limited capacity at this event: Register HERE

By NIBARead article

Senate Agricultural Committee Confirms Giancarlo as Chairman for the CFTC

June 29, 2017

1 min read

Senate Agricultural Committee Confirms Giancarlo as Chairman for the CFTC

The U.S. Senate Committee on Agriculture, Nutrition, and Forestry this morning voted overwhelmingly to confirm the nomination of J. Christopher Giancarlo as Chairman for the U.S. Commodity Futures Trading Commission. He has served as Acting Chairman since January. This paves the way for his nomination to move forward to consideration on the Senate floor. Read full CFTC Press Release Here

By NIBARead article

Illinois Financial Services “Privilege” tax?

June 29, 2017

6 min read

Illinois Financial Services “Privilege” tax?

By: Scott Kruse - Turnkey Trading Partners The State of Illinois is bankrupt. Whether anyone will acknowledge that or not is up for debate. Readers who are not familiar with the perilous state of financial affairs in Illinois need look no further than any major news publication over the last two weeks. The situation has gotten so dire that even the Chicago Tribune, Illinois’ very own reporting establishment, has gotten in on the action. Just this past week this tongue and cheek article about “Dissolving the Land of Lincoln” was run. All of this would be funny if things in Illinois weren’t so serious. So what’s a state in financial crisis to do? Raise Taxes. Except this time the taxes are intended to punish financial services firms still trying to make a buck in Illinois. That means the futures and securities industry are firmly in the State’s cross hairs. Who...

NIBA/DePaul University July Symposium

This year's NIBA/DePaul University Symposium is rapidly approaching and is shaping up to be another excellent event. Last year DePaul's rooftop deck was under construction and this year we have the opportunity to enjoy the new and improved facilities for our cocktail reception immediately following the event. In our last newsletter we proudly announced Mr. John Lothian will be the keynote speaker at DePaul this year. The full agenda has been set and is available at the below link along with the event registration information. Capacity is limited so be sure to reserve your spot in advance https://www.theniba.com/niba-event/annual-joint-niba-depaul-university-symposium/

By NIBARead article

June 29, 2017

1 min read

DOL Fiduciary Rules

Recently, a new rule went into effect at the Department of Labor that may have some implications on your business. To the extent that you recommend trading systems, CTAs or make investment recommendations to clients with retirement accounts, you should carefully review this information and possibly consult with an attorney on the implications to your business. On a high level, the rule generally requires financial professionals of all types, including brokers, financial advisors or wealth managers, who provide investment advice to retirement investors to act as fiduciaries, meaning that they must act in the best interests of their clients. It requires that brokers who recommend investments on retirement accounts provide certain disclosures regarding fees and commissions and recommend retirement products in their client’s best interests. Please refer to the below links for additional information: http://www.investopedia.com/updates/dol-fiduciary-rule/ https://www.dol.gov/agencies/ebsa/laws-and-regulations/rules-and-regulations/completed-rulemaking/1210-AB32-2 http://www.insidecounsel.com/2016/04/18/what-does-the-department-of-labors-new-fiduciary-r

By NIBARead article

Thinking of Starting a Fund? Here's 10 Things For You to Consider

June 29, 2017

10 min read

Thinking of Starting a Fund? Here's 10 Things For You to Consider

Written by: Matt Kluchenek, Patricia McDonald & Michael Sefton, Baker&McKenzie If you've been thinking about starting a hedge fund, you've likely encountered a byzantine array of options and requirements. Sorting through these options and requirements can be overwhelming. However, planning ahead and identifying key issues can clear a path and help you efficiently achieve your goal. In this article, we identify 10 of the most common considerations that arise for emerging fund managers. The Approach: Fund or Managed Account? Initially, most traders focus on forming a fund simply because it is the most common investment vehicle. That often makes sense. However, an alternative is to offer a managed account program. In a managed account program, the client gives a limited power of attorney to the manager to manage an account in the client's name. There are pros and cons associated with both funds and managed account programs. A managed account...

By NIBARead article

June 29, 2017

2 min read

Ask NFA - June 2017

As your industry advocate, the NIBA provides many services which help your business stay in compliance with NFA regulations. “Ask the NFA,” is the way you can ask questions about those regulations and compliance requirements without having to call NFA directly. Just email us at nfacomments@theniba.com and we will get the answers for you. Please keep in mind the purpose of this contact is to keep the lines of communication between the NFA and NIBA members. This month’s questions were selected from those submitted by NIBA members. The answers were supplied by NFA staff. If I am executing non-cleared swaps and am given poa in order to facilitate transactions will I eventually have to register as a CTA if I breach a certain threshold? NFA Registration Rule 101 defines commodity interest to include, among others, any contract, agreement or transaction subject to CFTC regulation under Sections 4c or 19 of...

NFA/NIBA - Washington, D.C.

On May 18, the NFA held a reception for the House Agricultural Committee and staff at the Longworth Building, Washington, DC. I was asked by the NFA to represent the NIBA. During the event, I met with several members of the committee and their congressional staff. This house committee is responsible for funding the CFTC. The sub-committee oversees our exchanges. My goal was to ensure these very important players in the regulation of our industry understood what the NIBA does, who our members are and what we stand for. I want them to know they can, and often, should reach out to us directly when they are debating issues that will affect our daily business lives. This was the first large scale informal setting meeting between the NFA and house members in a long time -- about 10 years, I think. Our IB and CTA representatives to the NFA Board...

Opportunities in Copper Futures

Opportunities in Copper Futures Designed to meet the needs of a range of market participants as an important risk management tool and investment vehicle, COMEX Copper futures open interest has reached an all-time high on February 13 at 300,966 contracts and YTD ADV up nearly 22% YoY as of the end of May. We encourage you to learn more about Copper Futures opportunities today by accessing CME Group video modules. Get Started

By NIBARead article

Page 36

NIBA Journal

Chairman's Letter - July 2017

John Lothian Keynote Speaker Preview

Senate Agricultural Committee Confirms Giancarlo as Chairman for the CFTC

Illinois Financial Services “Privilege” tax?

NIBA/DePaul University July Symposium

DOL Fiduciary Rules

Thinking of Starting a Fund? Here's 10 Things For You to Consider

Ask NFA - June 2017

NFA/NIBA - Washington, D.C.

Opportunities in Copper Futures

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