NIBA - Celebrating 35 Years

NIBA Journal

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

Ask the NFA
2 min read

Ask the NFA

NIBA: Ask NFA June 2016 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. The answers were supplies by NFA staff. This month's questions were selected from those submitted by NIBA members. The answers were supplied by NFA staff. What is the general focus of an NFA audit for a CTA? Because each firm has its own risks, the focus of CTA examinations is determined on a case-by-case basis. In general, during a CTA examination, NFA looks to ensure that the CTA is...

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Notice to Members I-16-16
2 min read

Notice to Members I-16-16

Effective date of amendment to Compliance Rule 2-46: Late fee for NFA Forms PQR and PR filings NFA recently amended NFA Compliance Rule 2-46 to impose a $200 late fee on commodity pool operator (CPO) and commodity trading advisor (CTA) Members for each business day the Member files its quarterly NFA Form PQR or PR after the due date. The late fee is effective for all NFA Forms PQR and PR required under NFA Compliance Rule 2-46 beginning with reports dated September 30, 2016 and later. For Form PQR, the late fee will apply to the CPO entity and will not be assessed on each pool operated by the CPO that has a late filing. NFA is imposing this late fee to encourage the limited number of CPOs and CTAs that file late reports to make timely filings. A late fee for these reports is consistent with NFA's practice of...

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CME QuikStrike
Marketing
1 min read

CME QuikStrike

CME Group is excited to partner with QuikStrike to provide customers with a free interactive option pricing and analysis tool. This resource provides a view into a large breadth of our options contracts, in addition to visibility into current and historical volatility (by strike), concise volume and open interest information, delta sheets, options pricing analysis, spread analysis & risk graphs. Visit cmegroup.com/quikstrike for more information. Video Link

By NIBARead article
Register Now for NIBA/DePaul Joint Briefing - July 1
Member Announcements
2 min read

Register Now for NIBA/DePaul Joint Briefing - July 1

Register Now for NIBA/DePaul Joint Briefing - July 14 Registration is open for the NIBA/DePaul University Joint Briefing, July 14 at DePaul University, Chicago Downtown Campus. REGISTER HERE We are excited to be partnering with DePaul University for the third year in a row to present an afternoon of can’t-miss business education and networking -- all designed to help you grow your business. “Managed Funds -- It’s More than Raising the Assets!” -- Mark Shore, Adjunct Professor, DePaul will lead a panel including Mike Coglianese, Michael Coglianese CPA, Carl Gilmore, Integritas Financial Consulting and John Brand, National Futures Association. This session will focus on the unique regulations and compliance issues which go along with marketing managed funds. “Cybersecurity - What You Need to Know Now!” -- Jeff Henderson, Greenburg Traurig will lead this panel which includes Gil Vega, CME Group, Matt Kluchenek, Baker & McKenzie and Dale Spoljaric, National Futures...

By NIBARead article
June’s Chairman Letter
Member Announcements
2 min read

June’s Chairman Letter

Resources: A source of supply, support or aid, especially one that can be readily drawn upon when needed -- Dictionary.com Dear Members - NIBA is excited to announce two new resources designed to help members grow their businesses. First, the NIBA Resource Center. In addition to other services and products unique to the derivatives industry, this member benefit includes white papers, seminars/webinar announcements and programs such as a joint intern project. The NIBA Resource Center will open as a private portal on the website mid-summer 2016. To suggest content for the Resource Center, contact Tom Sandy, NIBA Resource Center Chairman, ts@ricedairy.com. Resources Article. You can take advance of our second resource just by being a member of the NIBA! Exchange Analytics (EA), one of NIBA’s Service Provider Members is offering free online AML and Cybersecurity training to members who attend the NIBA/DePaul University Briefing, July 14 in Chicago. IB, CTA...

By NIBARead article
Resources, Resources, Resources
Member Announcements
2 min read

Resources, Resources, Resources

Resources, Resources, Resources by Tom Sandy & Ryan Griffeth Resources are part of NIBA’s mission to provide the information and education you need to grow your business. At a meeting of our Advisory Group (AG), several members wondered if we were doing enough to collect and offer industry resources to the membership. As a result of the AG’s suggestions, we have undertaken an initiative to increase resources available to you. NIBA has begun an informal series of meetings with industry participants to discuss which materials will be most helpful to brokers and clients who want to understand and use products and services more effectively. These industry participants include exchanges such as the CME Group, NADEX and ICE; and, service providers, including lawyers, accountants, marketing consultants and compliance trainers. Resources we hope to share include video presentations, online and in-person education and other educational/informational materials and programs. The subjects include market-specific...

By NIBARead article
Life of a Brokerage Firm
Marketing
3 min read

Life of a Brokerage Firm

Life of a Brokerage Firm “If it were easy, everyone would be doing it,” is the old adage when it comes to commodities trading and brokerage. Our work can be very rewarding but at the same time comes with a unique set of challenges that we all must overcome in our own ways, all the while trying to keep our sanity. The trading and brokerage business has changed greatly over the years as regulations have increased and technology has become a part of everyday life. The current state of the futures industry is quickly changing and this article series is intended as an educational and informational resource for the industry. Commodities brokers and brokerage firms have been attempting to adapt to new environments from a regulatory and technology perspective for a number of years now. Some have done so very successfully and others have struggled to make the necessary transitions....

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Two Key Ways to Tackle the Derivatives Cost Challenge
Marketing
6 min read

Two Key Ways to Tackle the Derivatives Cost Challenge

Two Key Ways to Tackle the Derivatives Cost Challenge By John Omahen, vice president - post-trade derivatives, FIS In today’s low-margin futures and derivatives business, low interest rates and high operating costs in the clearing community are causing enormous strain on profitability. For firms who have decided to remain in the business, their top priority is ensuring their operating model is sustainable by implementing more efficient technology and finding cost-effective ways to perform their middle- and back-office operations. However, doing more of the same will not be enough for most sell-side institutions in the derivatives clearing business. They will need to take a more radical approach to find those cost savings than they ever have before. With the “keep the lights on” costs increasing every year for firms, the issue has never been so critical. In the past when investment banks were looking to alleviate costs, they turned to a...

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NIBA/DePaul Joint Program Announcement
Member Announcements
2 min read

NIBA/DePaul Joint Program Announcement

We are excited to announce our third annual joint summer event with DePaul University. The afternoon meeting will be held on the downtown Chicago campus of DePaul University, Jackson Blvd at State Street, and includes two business sessions and a networking cocktail reception. Compliance and Regulation of Marketing Managed Futures, led by Mark Shore, Adjunct Professor at DePaul University takes us past raising assets to the “must know” aspects of the unique regulations and compliance issues surrounding the marketing of managed futures. Mark’s panel includes Mike Coglianese of Michael Coglianese, CPA, PC and Carl Gilmore, of Integritas Financial Consulting. Cybersecurity: What You Need to Know Now! is the panel discussion led by attorney Jeff Henderson, Greenberg Traurig. This session addresses the current state of regulation from the point of view of all categories of industry registrants and participants, in addition to discussing enforcement. The experts on this panel include Gil...

By NIBARead article
Ask the NFA
3 min read

Ask the NFA

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 NFA and NIBA members open, not to fix any specific individual concerns. This month's questions were selected from those submitted by NIBA members. The answers were supplied by NFA staff. If I have a cybersecurity issue who should I notify at NFA and what is NFA's response/reaction to the notification? Members should adopt a response plan within their ISSP that includes notification to NFA, relevant regulatory bodies and law enforcement based upon the type, severity, and materiality of an...

By NIBARead article
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