NIBA Journal

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

May 30, 2019

CFTC Washington, DC Visit by Melinda Schramm

On Thursday, May 16, I visited the CFTC Washington DC office for a meeting with Matt Kulkin, Director of the Division of Swap Dealer & Intermediary Oversight, and Tom Smith, Deputy Director, Managed Funds & Financial Requirements Branch of the Division, along with several division staff members. Prior to the meeting, I gathered information from NIBA FCM and IB members in order to have a focused agenda of current issues that concern our community. Many topics were covered in DC -- those below are slated for follow-up with the Commission: • Bulk Transfers: Most FCMs and several IBs feel that bulk transfers take too long as paperwork can be incomplete, or because one firm “drags its feet” getting the transfer done. Having a time certain from the time the transfer is initiated to the time it must be completed was suggested as a possible solution. I have also seen some...

Fireside Chat About Futures

In conjunction with the Chicago Bar Association’s Futures & Derivatives Law Committee, Financial and Emerging Technology Committee and Regulatory & Compliance Committee, Mayer Brown invites you to a fireside chat with Leo Melamed, Chairman Emeritus of the CME Group. CLE credit will be provided. Thursday, May 23, 2019 3:00 p.m. – 3:30 p.m. Registration 3:30 p.m. – 4:30 p.m. Program 4:30 p.m. Cocktail Reception Location Mayer Brown 71 South Wacker Drive Chicago, IL 60606 +1 312 782 0600 Register HERE

US-China Trade War

U.S.-China Trade War: The Perils of Escalation Any failure of the US and China to amicably resolve their festering trade war could have serious consequences for the world's two largest economies. Click Here for Full Article  

Association of Futures Markets (AFM)

by Melinda Schramm Last week I had the pleasure of speaking at the annual meeting of the Association of Futures Markets (AFM). AFM is trade association open to exchanges, clearing houses, traders and other industry participants whose objective is to promote and encourage the establishment of new derivative and related markets. AFM accomplishes its mission through international conferences at which members strengthens their relationships by sharing information and experiences. Speakers at last week’s meeting included Dr. Richard Sandor, Leo Melamed, John Lothian, Terry Duffy and myself. Topics ranged from the changing landscape of derivatives to FinTech in the exchange space. To learn more about AFM, contact Krisztina Kasza, Head of Secretariat, krisztina@afmorg.net or AFM Chairman and Senior Vice President, CQG, Pat Kenny, patk@cqg.com.  

NIBA/DePaul University Annual Symposium - July 11

Our DePaul University annual joint symposium is always standing-room-only--make your reservations today. This year’s program includes: • Armchair chat with an industry icon • The state of Managed Business • Issue Briefings - three 15-min presentation on the hottest topics in: 1. Regulation - The NFA 2. Marketing - 16Wells 3. Product - CME Group Of course, there will be plenty of time for networking and catching-up with old friends and colleagues throughout the afternoon and at the closing reception on the outdoor terrace at DePaul’s downtown Chicago campus. Registration is open now. Questions, suggestions - John Roe, event chair, jroe@btrtrading.com. Volunteer - Steve Petillo, spetillo@straitsfinancial.com or Melinda Schramm, melinda@futuresrep.com.

Chairman's Letter - May 2019

May - National Burger Month Mint Juleps NIBA welcomes new members TriNet and Coquest Advisors, LLC, both in the Service Provider category. May has proven to be a busy month -- micro e-mini futures launched at the CME Group and appear to be well received. ICE Futures US announced it will begin trading Bakkt-developed bitcoin futures in mid-summer. During the month several notable market commented on the state and future of the industry, including with regard to cybersecurity and competition: - Louis Rosato, BlackRock Investment Operations Group at SIFMA in Boca Raton, FL, “optimal cybersecurity comes from combining human ingenuity with artificial intelligence, rather than focusing on one over the other.” - Christopher Giancarlo, CFTC Chairman before a U.S. Senate subcommittee in Washington, DC, “Cyber is the No. 1 risk to our markets and in some ways, the No. 1 risk to our own agency operations because of the amount...

CME Group Micro E-mini

CME GROUP: Something Big Is Coming to Equities Trading. Micro E-mini Futures. Launching May 2019. Meet Micro E-mini futures, the next big thing in equities trading. Discover the benefits of trading equity index futures for a fraction of the financial commitment, with contracts 1/10th the size of classic E-mini futures. Visit cmegroup.com/microemini for the latest details.

NYC Thank You!

Thanks to all our Event Sponsors and Speakers for their support and participation in our Annual New York City Meeting. NIBA members learned about everything from changes in tax laws and ISSP regulations to how tariffs are affecting our markets. The armchair chat with Dr. Richard Sandor interviewed by Sandra Smith of Fox News was both educational and really fun. A video of the afternoon’s sessions will be posted on the NIBA website. Event Sponsors: • CME Group • Dorman Trading • Greenberg Traurig Law Offices • Intl FCStone Speakers: • Mike Coglianese, Michael Coglianese, CPA, PC • Mike Philllips & John Falck, VSEC, LLC • Alison Coughlin,, CME Group • Dr. Richard Sandor, American Financial Exchange • Sandra Smith, Fox News If you would like to be a sponsor for an upcoming NIBA event, contact Melinda Schramm, melinda@futuresrep.com. To suggest a speaker or topic for the NIBA/DePaul Joint Symposium...

Save the Date - July 11th

Registration is now open for the Annual NIBA/DePaul Joint Symposium, July 11 at the downtown Chicago campus of DePaul University. This afternoon event is always standing-room-only -- please register early. Three business sessions focused on the latest industry developments including managed futures, and regulation updates are scheduled. Our “armchair icon” interview (TBA) is one of the most enjoyed sessions at all NIBA events. A networking cocktail reception on DePaul’s wonderful outdoor terrace is included. If you have any suggestions or want to volunteer to help out during the event, contact event chairperson John Roe, jroe@btrtrading.com. To become a sponsor of the event, contact Melinda Schramm, melinda@futuresrep.com. Please register now. NIBA Members are complimentary.

Chicago Welcomes AFM

The 2019 Association of Futures Markets (AFM) Annual Conference will be held in Chicago on May 9 & 10th at the Palmer House Hilton. AFM, established in 1998, promotes and encourages the establishment of new derivatives and related markets. Current members include the Indonesian Commodity & Derivatives Exchange, Euronext, FIA and the Federation of Euro-Asian Stock Exchanges, among many others. This year’s annual program includes fireside chats with Terry Duffy and Leo Melamed, and Keynote Presentations by Walt Lukken and Richard Sandor, as well as panel discussions with John Lothian and Melinda Schramm. Visit their website afmorg.net for registration or contact Pat Kenny, pkenny@cqg.com, Chairman AFM, USA with questions.

By NIBARead article

Page 17