CFTC Unanimously Approves Proposed Rule, Acts on 3 Foreign Board of Trade Registration Applications at November 5 Open Meeting

CFTC - Proposed RuleWashington, DCAt the U.S. Commodity Futures Trading Commission’s open meeting today, the CFTC unanimously approved a proposed rule, approved applications for registration orders for three European exchanges, and held a charter signing ceremony for the agency’s new Veterans Affinity Group.

Proposed Rule: Correcting Amendment to Commission Regulation 160.30

On a 5-0 vote, the Commission approved a proposed rule that would amend Commission Regulation 160.30 by establishing specific requirements for policies and procedures to protect customer records and information.

This amendment will formalize the detailed requirements for those policies and procedures consistent with the Gramm-Leach Bliley Act.

The proposed rule has a 30-day comment period following publication in the Federal Register.

Foreign Board of Trade (FBOT) Applications

The Commission approved registration applications for three exchanges that operate outside of the U.S., known as a Foreign Board of Trade (FBOT), to allow their members and other U.S. participants to enter orders directly into the FBOT’s trade matching system. The following FBOT application registration orders were approved for issuance, each on a 4-1 vote:

  • Euronext Amsterdam N.V. of the Netherlands
  • Euronext Paris SA of France
  • European Energy Exchange of Germany

These exchanges satisfied CFTC requirements for FBOT registration by demonstrating, among other things, that they possess the attributes of established, organized exchanges. They are subject to comprehensive oversight by home country regulators whose supervision is comparable to that which the CFTC applies in its oversight of designated contract markets.

Prior to their registration, these FBOTs offered direct access through no-action letters issued by CFTC staff. Under CFTC Regulation 48.6, the no-action letters are automatically withdrawn with their registration.  With these approvals, there are now 21 FBOTs currently registered with the CFTC.

Veterans Affinity Group Charter Signing

The founding members of the newly established Veterans Affinity Group participated in a signing ceremony for the group’s charter. Office of Minority and Women Inclusion Director Sarah Summerville, whose office oversees the agency’s 6 affinity groups, and Executive Director Anthony Thompson, who was elected as the group’s chairman, signed the charter alongside the Commissioners and members of the group.