Dear NIBA Member -
Finding the right FCM to clear customer business is the #1 priority of most IBs right now. We know that over 50% of the IBs transferred from MF Global, Inc. have subsequently transferred out of the FCMs to which they were transferred - many because of a “bad fit.” Sources are reporting that up to 50% of the IBs and CTAs who did business with PFG have not found a new clearing FCM a full six weeks after the firm’s demise.
As registered industry professionals - IBs, CTAs or APs, you have many responsibilities and obligations to your clients. One of those responsibilities is to assure that the relationship you have with the FCM clearing your customer’s transaction is the the best relationship for your customer’s needs. Of course, this also help you develop and implement a good business plan for your firm.
NIBA’s FCM Members are listed in the FCM Directory on our website. (Link Here) The FCMs rotate membership on the NIBA Board of Directors to advise the association on the state of the FCM community relative to the industry, and IB business in particular. They also help provide our membership meetings.
Each FCM Member has a unique position in the industry and can offer different benefits of doing business which are included when you clear with that firm. Some offer managed futures programs; some provide FX clearing. All NIBA FCM Members welcome IBs.
Assessing FCM risk and what it means to your business is the focus of one session at the September 12 NIBA Chicago Event. Why not visit with your FCM to find out all it can do to support your business efforts when you attend the NIBA meeting? Space is limited at the UBS Center, and we closed registration in 2011 at about 200 attendees. Please register now to reserve your seat.
See you in Chicago.
Best wishes,
Melinda
Melinda Schramm, Chairman