NIBA Journal

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

MF Global Trustee Plans to Return More Customer Funds
MF Global Updates
October 4, 2013
1 min read

MF Global Trustee Plans to Return More Customer Funds

MF Global trustee James Giddens has asked a bankruptcy court for permission to return the remaining money owed to the firm's customers who traded on domestic exchanges. "The relief sought in this motion, if granted, should allow every one of the more than 26,000 former customers of MFGI with allowed net equity claims to be paid in full before the end of the calendar year," a court filing said. To read the full article, go to www.reuters.com

By NIBARead article
Customers testify about CFTC agriculture-futures rules
October 4, 2013
1 min read

Customers testify about CFTC agriculture-futures rules

Futures-market users and regulators testified before the House Agriculture Subcommittee on General Farm Commodities and Risk Management that some parts of a proposal from the Commodity Futures Trading Commission would hurt members of the agricultural community. "We must examine if the costs outweigh the benefits," said subcommittee Chairman Mike Conaway, R-Texas. "Farmers and ranchers who are supposed to be protected by this rule have expressed deep skepticism of it, which I share." To view the full article go to www.agri-pulse.com

By NIBARead article
MF Global Trustee Issues Letters to IBs Threatening to Claw Back Commission Payments Received Within 90 Days of Bankruptcy Filing
MF Global Updates
September 13, 2013
2 min read

MF Global Trustee Issues Letters to IBs Threatening to Claw Back Commission Payments Received Within 90 Days of Bankruptcy Filing

The SIPA trustee of collapsed futures broker MF Global, Inc. (“MFGI”) recently issued letters to many IBs asserting that the trustee may file preference actions to recover commission payments made by MFGI to the IBs within 90 days of MFGI’s October 31, 2011 bankruptcy filing. The letter indicates that IBs should contact an attorney in the trustee’s office by September 20, 2013 to discuss the issue. Depending on individual IBs’ particular facts and circumstances, there are a number of defenses and arguments that the IBs may be able to assert to such preference actions. IBs should analyze how these defenses and arguments apply to their facts and circumstances and then communicate with the trustee’s office with the aim of getting the trustee to agree either that no amount is subject to a preference action or that the trustee will settle for a mutually acceptable amount. If individual disputes cannot be...

Selling Commodities in an Equities Market: A Panel Discussion Preview
Marketing
September 3, 2013
3 min read

Selling Commodities in an Equities Market: A Panel Discussion Preview

It’s a tough time to be a futures broker. Despite surviving the 1-2 punch of MF Global and PFG, markets have been difficult to predict and volumes haven’t fully bounced back. In managed futures, CTAs as a group have under-performed and while traditional wisdom says to invest in a manager during a draw down—it’s a tough sale even for the most experienced investor. While generally speaking, the rise of the stock market is good for our economy and a sign of a market rebound, it makes selling futures a harder proposition when low-cost, less-complex investment vehicles such as Stock Index ETFs are performing well. Combine this with the fact that generating leads is harder, more expensive, and more work than before…what’s a broker to do? I have the privilege of moderating an exciting panel discussion “Selling Commodities in an Equities Market” with some great fellow panelists including Daniel Ryba, Director...

By NIBARead article
NFA recommends vigilance in the face of growing cyber threats
August 29, 2013
1 min read

NFA recommends vigilance in the face of growing cyber threats

It goes without saying that the safety of customer funds and information is critical in the futures industry. In recent years, NFA has taken significant steps to enhance customer protection. However, there are other serious threats to customer funds and personal information that aren't as outwardly visible or frequently publicly discussed: cyber attacks. Read the full article here on the National Futures Association's website.

By NIBARead article
NFA Rep Panel Session
August 6, 2013
2 min read

NFA Rep Panel Session

Most of the work I have been doing on the NFA board thus far has been trying to open the eyes of fellow board members and senior NFA staff to issues that affect the IB community. Issues such as no accountability following MF Global and PFG, inexperienced auditors, the inconsistent promotional material review process, the doubling up of AML responsibilities between the IB and FCM, and more. Unfortunately, the IB is almost an afterthought with everything else going on, from the integration of swaps to implementing the BRG report recommendations to improving customer protections. But there are those willing to listen, and I believe progress (however slow) is being made. To make more progress, however – we need to be louder as an IB community. The general responses I have gotten in my interactions thus far have been ones of doubt, with the usual response something along the lines of...

By NIBARead article
Representing CTAs & CPOs: a Large, Growing and Changing Constituency
August 6, 2013
3 min read

Representing CTAs & CPOs: a Large, Growing and Changing Constituency

As one of four NFA Board Members representing CTAs and CPOs, I'm working to represent the interests of a broad spectrum of money managers and traders. But just who are these constituents and what are their interests? The answer is not simple and increasingly a moving target. That is because the population of CTA/CPO member firms is rising exponentially. In 2012, the CFTC rescinded a widely held exemption for certain commodity pools. In addition, the CFTC broadened the the definitions of CTAs and CPOs to include swaps. As of the first quarter of 2013, those changes yielded over 1,100 new members in the CTA/CPO category, almost half of whom use swaps. More firms will be required to register later this year, as an exemption from registration expires for "fund of funds" and family offices. To get a handle on just what are the needs of CTAs and CPOs, I have...

By NIBARead article
Risk Management Procedures Now Required
August 6, 2013
1 min read

Risk Management Procedures Now Required

CFTC Regulation 1.73 affects IBs and FCMs that execute orders for customers. Thus IBs who execute give-up orders must adopt risk management procedures. This new regulation also applies to bunched orders. During the Legal Update panel at the NIBA conference on September 18th, we will be discussing how new regulations, including 1.73 affect IBs, FCMs, Swap Firms as well as other NFA Members. About the Author Michael Coglianese CPA, P.C. has been providing compliance, auditing, and accounting services for the futures industry for over 25 years. Mike can be reached directly at 630-351-8942 or via email mike@cogcpa.com. Visit www.cogcpa.com for a more complete picture of services offered. The Opinions expressed are the opinions of the author. The opinions, the trading styles, trading information and trading programs are not endorsed by the NIBA, but are the individual opinions, styles, information and programs of the author.

By NIBARead article
Not a NIBA Member Yet? No Problem.
NIBA Briefings
August 6, 2013
2 min read

Not a NIBA Member Yet? No Problem.

Are you planning on attending the NIBA fall conference in September, but youʼre not a member yet? No problem. You can join the Association when you register for the conference. Attendance at the event is complimentary for NIBA members. IBs and CTAs pay $150 per year. APs pay $75 per year. Also included in the IB and CTA membership is a subscription to the NIBA Journal, our online Newsletter and a listing in the online Broker Directory for the remainder of 2013. FCMs, Service Providers and others are urged to contact me directly. The NIBA membership meeting is more important than ever this fall. NFA and CFTC regulation changes will affect your day-to-day business. Reporting and recording requirements, plus potential substantial changes in FCM capitalization requirements will have an effect on your daily operations. Each of our business sessions will help you understand, prepare and comply with the NFA and...

By NIBARead article
NIBA Legal Update Panel Preview
NIBA Briefings
August 6, 2013
1 min read

NIBA Legal Update Panel Preview

I have the privilege of leading the NIBA Legal Update once again this year. This panel of industry experts including Mike Coglianese and Jeff Kopiwoda will address legal developments - CFTC, NFA and others - which will affect an IB or CTA business. One issue we will discuss is CFTC Reauthorization and why it is important to each of us. The NIBA has submitted a number of suggestions to the U.S. Senate Committee chaired by Debbie Stabenow which is responsible for the reauthorization process. Included are comments on customer protections, liquidation processes in the event of an FCM bankruptcy, Reg. 1.35 Recordkeeping Requirements, customer account insurance and FCM bankruptcy reform. We will be include all of this and more in our panel at 2:30pm, September 18, CME Group Building, Chicago. I look forward to seeing you in Chicago. Please contact me directly if there are issues you would like addressed...

By NIBARead article
Page 80

Categories

Business Development
CME Updates
Compliance/Legal
Featured Member of the Month
Focus on the Membership
Housekeeping
MF Global Updates
Managed Futures
Marketing
NIBA - Celebrating 35 Years

The united voice for derivatives professionals since 1991.

Association

  • About NIBA
  • Leadership
By NIBA
Read article
Member Announcements
NIBA Briefings
Operations
Podcast
Resource Articles
Risk Management
Swaps FX
Trading Technology
Uncategorized

Join NIBA

Become a member and get access to exclusive content, networking opportunities, and industry insights.

  • Contact Us

    • Members

    • Join NIBA
    • Member Login
    • Member Benefits

    Resources

    • What Is an IB?
    • NIBA Journal
    • Broker Toolbox
    • Events

    Directories

    • Broker Directory
    • Service Providers
    • Jobs Board

    Join Our Newsletter

    Get the latest NIBA Journal insights and industry updates in your inbox.

    © 2026 National Introducing Brokers Association. All rights reserved.

    Privacy PolicyTerms of Service
    NIBA - Celebrating 35 Years
    Our AssociationMembershipEventsJournalService ProvidersToolboxDirectory