Speculative Position Limits

The Commodity Futures Trading Commission is currently considering whether changes are needed in the regulatory regime that governs the application of speculative position limits to the energy futures markets. In mid-2009 the agency held several days of hearings to gather public input on potential changes to the position limit regime. On January 14, 2010, the CFTC held a public meeting to discuss a proposed rule establishing a new position limit regime for energy futures and options markets. After the enactment of the Dodd-Frank Act, the CFTC withdrew this proposed rule and in January 2011 the agency issued a different proposal that would apply to over-the-counter commodity swaps as well as listed futures and options, as mandated by Section 737 of Dodd-Frank. To help FIA members and the public understand CFTC policy in this area, the FIA has listed below several information resources, including statements, testimony, position papers and current rules. The FIA also encourages members and the public to visit the CME Group’s web page on the role of speculation in futures markets, which contains a number of articles and other resources on this topic.


FIA Files Supplemental Comment on Position Limits (July 31, 2014)

FIA submitted a comment letter to the Commodity Futures Trading Commission on July 31 in response to a request for additional comment on the agency’s proposed position limits rule and its proposed position aggregation rule. FIA focused its comments on the aggregation proposal and suggested nine changes that would address concerns raised by FIA members and other market participants. The letter also included proposed rule text provisions that reflect the suggested changes.


CFTC Further Extends the Reopened Comment Period for its Rulemaking Proposals on Position Limits for Physical Commodity Derivatives and Aggregation (June 27, 2014)

The CFTC further extended the public comment period for the proposed position limits rule, as well as the related proposal regarding aggregation of positions across commonly owned affiliates.  The extension will run for 30 additional days after it is published in the Federal Register.

CFTC Notice


CFTC Hosts Roundtable on Position Limits Rule (June 19, 2014)

 Staff at the Commodity Futures Trading Commission hosted a day-long roundtable to provide market participants with an opportunity to discuss the impact of the agency's proposed position limits rule for physical commodity derivatives. CFTC staff asked the participants, most of whom represented commercial end-users, a series of questions on topics such as gross hedging, cross-commodity hedging, anticipatory hedging, non-enumerated exemptions, spot-month limits and aggregation of positions. The panelists cautioned CFTC staff that certain aspects of the proposed rules would interfere with their ability to use derivatives to hedge their risks. William McCoy, managing director and counsel at Morgan Stanley, spoke on behalf of FIA and discussed several recommendations that FIA made in its Feb. 6 comment letter regarding the CFTC's proposed aggregation requirements.

 FIA Special Report


FIA Files Comment Letter on Proposed Position Limits Rule (Feb 7, 2014)

On Feb. 7 FIA filed a 48-page comment letter in response to the CFTC’s proposed position limits rule.  FIA said that various aspects of the proposed rule would have a “negative impact” on price discovery and liquidity and would “significantly restrict” the ability of market participants to rely on the derivatives markets to hedge risk. FIA urged the CFTC to defer imposing position limits until after it has collected and analyzed the data necessary to make an empirical finding that 1) speculative position limits are “necessary” to “diminish, eliminate or prevent” the burden on interstate commerce caused by excessive speculation, and 2) that the proposed limit levels are “appropriate”. FIA also urged the CFTC to modify the proposal in a number of ways, and commented that there are less costly and less restrictive alternatives to the proposed compliance and reporting requirements that would still achieve the CFTC’s objectives, and urged the CFTC to adopt a number of specific changes if it decides to proceed with the proposed rule.

Read Letter


FIA Files Comment Letter on Proposed Aggregation Rule (Feb. 6, 2014)

On Feb. 6 FIA filed a 19-page comment letter in response to the CFTC’s proposed rule regarding the aggregation of positions. FIA said it generally supports the proposal because it incorporates or addresses many of the comments and recommendations made by FIA and other market participants concerning prior proposed amendments to the aggregation rules. In particular FIA said it supports the recognition that certain types of ownership structures should be exempted from aggregation. FIA also urged the CFTC to provide a “reasonable transition period” after the rule is finalized and recommended  a number of additional clarifications and amendments to address the practical impact of the proposed rule.

Read Letter


CFTC Submits Brief to Appeals Court in Position Limits Case (April 5, 2013)

The Commodity Futures Trading Commission on April 5 submitted its appeal brief to the U.S. Appeals Court for the District of Columbia arguing against a lower court ruling in 2012 that overturned the CFTC’s position limits rules.

Click Here for CFTC’s Appeal Brief


FIA Outlines Views on Position Aggregation Requirements and Exemptions (Jan. 15, 2013)

FIA sent a letter to the Commodity Futures Trading Commission on Jan. 15 outlining its views on position aggregation requirements and exemptions. The letter was intended to provide staff with additional information for consideration as the agency develops a proposal in this area as part of a broader effort to draft a new position limits rule.

Click here for the comment letter 


CFTC Approves Position Limit Appeal (Nov. 15, 2012)
The Commodity Futures Trading Commission on Nov. 15 voted to move forward with an appeal of a federal district court’s decision vacating the position limits rule. The CFTC approved the appeal by a vote of 3-to-2.

Click Here for CFTC Press Release
Click Here for CFTC Commissioner O’Malia’s Statement of Dissent
Click Here for CFTC Commissioner Chilton’s Statement


U.S. District Court Overturns CFTC Position Limit Rule (Sept. 30, 2012)
On Sept. 30, the U.S. District Court for the District of Columbia struck down the Commodity Futures Trading Commission’s position limit rule, which was scheduled to go into effect on Oct. 12. The court found that the CFTC "fundamentally misunderstood" the relevant provisions of Dodd-Frank and rejected the CFTC's interpretation that Dodd-Frank makes the imposition of position limits "mandatory" rather than "as appropriate" to prevent excessive speculation. The court stated that the case revolved around the question of whether a plain reading of section 6a of the Commodity Exchange Act "clearly and unambiguously requires the Commission to make a finding of necessity prior to imposing position limits." Based on its reading of the statute, the court concluded, "The answer is yes." 

 Following the court's ruling, CFTC Chairman Gary Gensler issued a statement saying that he was "disappointed" by the ruling and is "considering ways to proceed." The plaintiffs—the International Swaps and Derivatives Association and the Securities Industry and Financial Markets Association—also issued a statement, saying the position limits rule would have adversely impacted commodity markets and market participants if it had not been overturned. 

Click Here for Court Order
Click Here for CFTC Statement
Click Here for ISDA/SIFMA Statement


FIA Statement on Position Limits Rule (Oct. 18, 2011)

John Damgard, president of the Futures Industry Association, issued the following statement on Oct. 18, 2011 in response to the approval of the final position limits rule by the Commodity Futures Trading Commission:

"It is quite troubling to see that three out of the five CFTC commissioners have such serious reservations about this rule. Commissioner Dunn even went so far as to say that he has not seen 'any reliable economic analysis' to support the contention that position limits are necessary or effective in preventing excessive speculation. At best, position limits are a cure for a disease that does not exist, according to Commissioner Dunn. At worst, they may harm the very markets they are intended to protect. I could not agree more with his comments."

"Of particular concern to us is the potential adverse effect on commercial entities that use derivatives to hedge price risk. The comments by the CFTC commissioners at today's meeting appear to indicate that the rule will make it more difficult if not impossible for these entities to use legitimate and well-established methods for hedging their risks."


CFTC Approves Final Rules on Position Limits (Oct. 18, 2011)

The Commodity Futures Trading Commission on Oct. 18 approved its final rule on speculative position limits by a vote of 3 to 2, with Republican Commissioners Jill Sommers and Scott O'Malia dissenting. Both commissioners asserted that the rule goes too far in reducing the ability of commercial entities to enter into hedging transactions. O'Malia also issued a 16-page statement of dissent.

"I have always believed that there was a right way and a wrong way for us to move forward on position limits," said Sommers. "Unfortunately I believe we have chosen to go way beyond what is in the statute and have created a very complicated regulation that has the potential to irreparably harm these markets."

Democratic Commissioner Michael Dunn voted in favor despite grave concerns about its value and effectiveness. He called the debate over position limits a "sideshow" that has diverted the agency's resources away from actions to prevent another financial crisis. He questioned the rationale for the rule and warned the implementation of position limits will not lead to lower prices for heating oil and gasoline, as proponents have suggested, and may actually lead to higher prices for food and fuel.

"Congress has tasked the CFTC with preventing excessive speculation by imposing position limits. The law is clear, and I will follow the law," Dunn said. "I am still left with the conclusion that no one has presented to this agency any reliable economic analysis to support either the contention that excessive speculation is affecting the markets we regulate or that position limits will prevent excessive speculation."

The final rule will establish CFTC-administered limits on speculative positions in 28 "core" commodity futures contracts and "economically equivalent" futures, options, and swaps. The limits will be established in two phases. Spot-month limits will be based on 25% of the deliverable supply and will be effective 60 days after the effective date of a final rule further defining the term "swap." That definition is being drafted jointly with the Securities and Exchange Commission and is tentatively scheduled for release by the end of this year.

In the second phase, the CFTC will set limits for positions in all non-spot contract months combined or in a single contract month after it has received one year of open interest data on futures, cleared swaps and uncleared swaps. That data will be collected under the agency's recently finalized large-trader reporting rules. These limits will be based on 10% of the contract's first 25,000 of open interest and 2.5% thereafter. They will be reset biennially based on two years of data on open interest in futures, cleared swaps and uncleared swaps.

The CFTC expects to have 12 months of open interest data by the end of August 2012, CFTC staff said. The CFTC will then review the data and issue an order defining the position limits and giving the industry two months to comply. In practical terms, it appears that the all months combined/single month limits therefore will take effect in late 2012 or early 2013.

CFTC staff said the final rule contains exemptions for bona fide hedging transactions, including certain types of anticipated merchandising transactions, royalties, and service contracts. The final rule uses account aggregation standards that are "consistent" with the CFTC's current position limits aggregation policy, the CFTC staff said. The final rule includes the agency's long-standing independent account controller exemption but only for customer positions. Under current CFTC regulations, exchanges require aggregation for non-agricultural commodities based solely on common control, not based on common ownership.

The final rule establishes a quarterly position visibility reporting regime for traders exceeding a certain threshold in energy and metal contracts. The purpose is to assist the CFTC in its surveillance program by giving it "additional visibility" into the physical and swaps portfolios of the largest traders, the CFTC explained.

The final rule does not include the "class limits" that were included in the proposed rule issued in January. In other words, a market participant holding both futures and swaps based on the same commodity will be required to comply with limits on the net position, taking into account any offsets between the two types of derivatives.

When the spot-month position limits are implemented, the CFTC estimated that approximately 84 traders in legacy agricultural contracts (contracts already subject to CFTC position limits), 50 traders in non-legacy agricultural contracts, 85 traders in energy contracts, and 12 traders in metal contracts would hold or control positions that could exceed these limits.

For non-spot-month position limits, the CFTC estimated that approximately 84 traders in legacy agricultural contracts, 80 traders in non-legacy agricultural contracts, 10 traders in energy contracts, and 25 traders in metal contracts would hold or control positions that could exceed these limits.

Click Here for CFTC Statements, Fact Sheets and Other Documents


FIA Welcomes IMF’s Findings that Speculators Should Not Be Blamed for Commodity Price Volatility
Washington, D.C. – Sept. 22, 2011 – The Futures Industry Association issued a statement today from FIA President John Damgard welcoming the International Monetary Fund’s findings in its World Economic Outlook that financial speculators are not to blame for volatility in the commodity markets. 

“The IMF has wisely highlighted the important role that financial speculators have played in providing liquidity to commodity markets. As the IMF report says, recent research has not uncovered a ‘smoking gun’ pointing to speculators. It is prudent of the IMF to recognize there is not enough evidence to support urgent policy intervention.” 

In its latest World Economic Outlook, which was released on Sept. 20, the IMF included a section addressing the arguments that increased speculation in the commodity derivatives markets caused the commodity price boom of 2003 to 2008. The IMF reviewed the evidence and concluded that commodity market fundamentals explain the price changes. It also concluded that investment inflows have added to market liquidity, which generally enhances rather than distorts price discovery. 

The FIA is the primary industry association for centrally cleared futures and swaps. Its membership includes the world’s largest derivatives clearing firms as well as derivatives exchanges from more than 20 countries. For more information, please contact Will Acworth (wacworth@futuresindustry.org) or visit our website at www.futuresindustry.org

Click Here for Full Text of IMF Report Pages 56-60 (7.7MB) 



Storm on the Horizon: Preparing for Position Limits (September 2011)
By Jonathan Flynn, Cad­walader, Wickersham & Taft

An analysis of the CFTC position limits proposal and the issues it raises for market participants. 
Click Here for Article


EDHEC Analyzes Investing in Commodity Markets (August 2011) 

The EDHEC Risk Institute, a European think-tank, released a study on the implications of commodity investing for portfolio risk and market regulation. The study, which is based on data provided by CME Group, examines the performance and risk characteristics of long-only commodity index investments favored by passive investors and of long/short commodity strategies of the kind implemented by hedge fund managers, and confirms that correlations with equity and bond investments are relatively low, especially for long/short commodity strategies. The study also examines the “financialization” of commodity markets from 1992 to 2011 and finds very little to no evidence to suggest that investment flows have destabilized commodity prices.

Click Here for EDHEC Study  


FIA Asks CFTC to Re-Issue Position Limit Proposal to Clarify Aggregation Policy (May 25, 2011)  

The FIA submitted a letter to the Commodity Futures Trading Commission on May 25 recommending that the agency re-issue its proposed speculative position limit rules to clarify how the agency intends to aggregate positions within a firm. The FIA submitted the letter after learning that the agency plans to aggregate positions on a firm-wide basis regardless of whether the positions are under common control or common ownership. This would include all positions held within a firm including asset management subsidiaries that operate separately from other divisions of the firm. The FIA stated that the public must be able to review this policy, which was not discussed in the proposed rules as published. Further, the FIA said the planned aggregation policy goes beyond the law, is unprecedented and would stifle legitimate use of the of the markets by investors and end-users. “In our view, compulsory firm-wide aggregation in such circumstances would not advance any regulatory policy or purpose and the consequences to the markets and the industry of imposing such an onerous standard would be harmful and vast,” the FIA wrote.

Click Here for Comment Letter


President Obama Forms Task Force to "Root out" Fraud and Manipulation in Energy Markets (April 21, 2011)

President Obama stepped up the administration’s response to rising gasoline prices, announcing the formation of an inter-agency working group headed by the Justice Department to crack down on price gouging and other illegal activity in the oil markets. Speaking at a public event in Nevada on April 21, Obama said he has directed Attorney General Eric Holder to put together a team of officials "to root out any cases of fraud or manipulation in the oil markets that might affect gas prices, and that includes the role of traders and speculators." Holder subsequently issued a statement saying that the working group, which includes the Commodity Futures Trading Commission, would foster increased cooperation between investigators and government officials in the enforcement of state and federal laws against collusion, manipulation and other forms of wrongdoing. "It will also allow us to evaluate significant market developments, including the activities of speculators and index traders, so we can anticipate and aggressively pursue cases of suspected illegal activity," Holder said. 
Click Here for DOJ Memo


IOSCO Updates G-20 Leaders on Commodity Market Oversight Projects (April 15, 2011)

The International Organization of Securities Commissions submitted a report to the leaders of the Group of 20 nations summarizing the status of several projects underway to improve the regulation and supervision of commodity markets. The report, which was released on April 15, outlined work in three main areas: recommendations on contract design and market surveillance; an assessment of the impact of price reporting agencies on crude oil price discovery; and the creation of a trade repository for commodity derivatives. 
Click Here for IOSCO Press Release


CFTC, FTC Agree to Share Information on Energy Investigations (April 12, 2011)

The Commodity Futures Trading Commission and the Federal Trade Commission have signed an agreement to share non-public information on investigations into the oil and gasoline markets, the two agencies announced on April 12. The agencies said the agreement will help the FTC enforce its petroleum market manipulation rule, which prohibits fraudulent manipulation of U.S. petroleum markets, and will help the CFTC in exercising its authority to pursue manipulation in the oil markets.

“With gasoline prices on the rise, we are committed to doing all we can to ensure that petroleum markets are competitive,” said FTC Chairman Jon Leibowitz. “Competition works to keep prices lower, and this MOU improves the ability of the FTC and CFTC to take action if and when we find market manipulation. I’d like to thank our CFTC partners for helping to improve the already excellent communication between our two agencies.” 
Click Here for CFTC-FTC Press Release


Analysis of CFTC Proposed Position Limits on Commodity Index Fund Trading (March 25, 2011)  

By Professor Clifford V. Rossi, Robert H. Smith School of Business, University of Maryland  
Click here for the paper


 

FIA Recommends Changes in CFTC Position Limit Proposal (March 25, 2011)

The FIA on March 25 submitted a detailed response to the Commodity Futures Trading Commission’s proposed rulemaking on speculative position limits. Although the FIA continues to oppose implementation of hard limits and continues to challenge the view that speculative investments have caused an increase in commodity prices, the FIA set out a number of specific recommendations for revising the proposed rule, such as a different methodology for setting spot month limits, a broader definition of bona fide hedging transactions, an exemption process for liquidity providers, and the re-institution of the independent account controller exemption from mandatory aggregation. The FIA also expressed its appreciation for the CFTC’s decision to adopt a two-phase approach to the imposition of position limits, with the first phase applying only to spot months and the second phase delayed until after the CFTC collects position data on physical commodity swaps, and its appreciation for the CFTC’s decision to eliminate a proposal to “crowd out” a trader’s ability to take speculative positions once that trader relies on a hedge exemption. The FIA cautioned, however, that the CFTC has not yet provided sufficient empirical evidence to support this rulemaking and therefore asked the CFTC to withdraw the rule until after it has collected and analyzed the data necessary to determine that position limits are necessary and appropriate as required by the law. 
Click Here for the FIA Comment Letter


 Why Speculation Is Essential to the Global Marketplace (March 1, 2011)

Speculation is vital if the markets are to keep functioning, John Hofmeister says in a video interview by CME Group. Hofmeister is former president of Shell Oil Company and the founder and chief executive officer of Citizens for Affordable Energy, a non-profit association based in Washington. He argues that speculation is needed in order for energy markets to function efficiently, just as oil is necessary to lubricate machines. He also comments on the imbalance between increasing demand from Asia and other parts of the world on the one hand, and the difficulties that oil producers face in attempting to meet that demand. “If we don’t have speculators,” he said, “markets dry up – and then we won’t have enough of what we need sometime in the future.”  

Click Here to Download Video


 CFTC Approves Proposed Rules on Position Limits (Jan. 13, 2011)

The Commodity Futures Trading Commission held a public meeting on Jan. 13 to consider its ninth series of rulemakings related to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. By a vote of 4-1, the agency approved for public comment a proposed rule establishing a new regime of speculative position limits for physical commodity derivatives, as mandated by Section 737 of Dodd-Frank. The proposed rule will be out for public comment for 60 days.

Click Here for the Full Text of the CFTC’s Position Limit Proposal
Click Here for CFTC Commissioner Statements and Information Sheets


FIA Submits Pre-Rulemaking Comment on Dodd-Frank Position Limits (Oct. 1, 2010)

The Futures Industry Association on Oct. 1, 2010 submitted a letter to the Commodity Futures Trading Commission on the application of speculative position limits on listed and over-the-counter derivatives involving exempt and agricultural commodities. The FIA submitted the letter ahead of the CFTC’s proposed rulemaking, which is expected sometime this fall. Under the Dodd-Frank law, the CFTC must finalize a position limit rule for energy and metals contracts by January 17 and for agricultural contracts by April 17. The FIA recommended that the limits be set on an interim rather than permanent basis and that they be flexible. The FIA also recommended that any interim position limits apply only to net positions in economically equivalent contracts and “be set at a level that will not reduce market liquidity or cause migration of the price discovery function to foreign markets.” In addition, the FIA recommended that the CFTC consider proposing an interim rule that aggregates positions only in commonly controlled accounts. The FIA stressed the need for the agency to provide guidance on the definition of a bona fide hedge position and requested that it issue guidance on the process for granting exemptions for these and other types of positions that perform similar risk-reducing functions.

Click Here for FIA Pre-Rulemaking Position Limit Comment Letter


Washington Watch: Continued Focus on Speculative Position Limits (June 2010)

An update on CFTC initiatives related to speculative position limits, including the January 2010 proposal for a new federal scheme of position limits for energy commodities and the March 2010 public meeting on position limits in the metals markets, and a summary of the comments received from banks, brokers, airlines, utilities, natural gas companies, pension funds and other market participants.

 Click here for the article


Bubbles, Froth, and Facts: The Impact of Index Funds on Commodity Futures Prices (February 2010)

Dwight R. Sanders, Southern Illinois University, and Scott H. Irwin, University of Illinois at Urbana-Champaign February 2010

Two economics professors have published a paper analyzing commodity index trader position data from 2004 to 2009.  The professors found that a large increase in commodity index positions occurred in select commodity markets. However, that increase took place well in advance of the 2007-2008 boom in commodity prices, the professors said. They also said that statistical tests on the data did not reveal any link between commodity index activity and commodity futures prices.

 Click Here for Full Text


Futures Trading And Oil Price Movements (June 2010) 
The fundamentals of supply and demand are the key components affecting oil prices and the positions taken by traders and speculators also reflect those economic factors, according to a study published in the latest issue of Kent State University and the Institute for Financial Market’s Review of Futures Markets. The study was written by Arjun Chatrath, a professor at the University of Portland, Rohan Christie-David, a professor at the University of Louisville, and two graduate students, Victoria Lugli and Cynthia Santoso. This article is re-printed by permission of Review of Futures Markets. 
Click Here to Download Article

For more information about this publication, please see links below. 
http://www.theifm.org/index.cfm?inc=rfm.inc
http://business.kent.edu/rfm 
http://business.kent.edu/rfm/subscribe.asp


 Click Here for Compliance Alert from ICE Futures U.S


 CFTC Issues Statement on Intraday Position Limits (May 7, 2010)

The Commodity Futures Trading Commission on May 7, 2010 issued an advisory reminding market participants of their obligations to comply with speculative position limits on an intraday basis, rather than only on an end-of-day basis. “A trader whose position exceeds the applicable speculative position limit at any time during the day is in violation of the Commodity Exchange Act and CFTC regulations, even if the position is subsequently reduced to a level within the applicable limit by the close of the market for that day,” the CFTC said. “Accordingly, intraday speculative position limit violations have been and continue to be subject to Commission enforcement action as violations of the Act.”

 Click here for the statement


Statements from CFTC Meeting to Examine Futures and Options Trading in the Metals Markets (March 25, 2010)

Speaker Presentations

Opening statements

Chairman Gensler
Commissioner Michael Dunn
Commissioner Jill E. Sommers
Commissioner Bart Chilton
Commissioner Scott D. O’Malia

Panel 1

Dan Berkovitz, General Counsel, CFTC
Steve Sherrod
, Division of Market Oversight, CFTC

Panel 2

Jeff Burghardt, Luvata Buffalo
Jeremy Charles
, HSBC Bank USA, NA
Tom LaSala
, CME Group
Diarmuid O’Hegarty, London Metals Exchange, Presentation and LME Lending Guidance for Metals
Mark Epstein
, Individual Trader

Panel 3

Tom Callahan, NYSE Euronext
Dr. Henry G. Jarecki
, Gresham Investment Management
Bill Murphy
, Gold Antitrust Action Committee 
Kevin Norrish
, Barclays Capital
John Lothian
, John Lothian & Co.

Panel 4

Richard Strait, Triland USA, a Division of Mitsubishi Corporation
Simon Grenfell, Deutsche Bank
Mike Masters
, Masters Capital
Harvey Organ
, Individual Investor
Jeffrey Christian
, CPM Group

FIA files a major comment letter in opposition to the adoption by the Commodity Futures Trading Commission of its proposed speculative position limits on energy commodities (March 18, 2010)
http://www.futuresindustry.org/downloads/FIA_Opposes_CFTC_Position_Limit_Proposal_3-10.pdf
 Click Here for the Full Text of the FIA Comment Letter

FIA Responds to the CFTC’s Proposed Position Limits Rule (Jan. 14, 2010)
http://www.futuresindustry.org/?i=1489

Text of CFTC Proposed Rule on Position Limits (Jan. 14, 2010) 
http://www.futuresindustry.org/files/Federal_Speculative_Position_Limits_for_Referenced_Energy_
Contract_and_Associated_Regulations_011410.pdf

CFTC Position Limit Proposal Fact Sheet (January 14, 2010)
http://www.futuresindustry.org/downloads/CFTC_Position_Limit_Proposal_Fact_Sheet.pdf

CFTC Position Limit Proposal Q and A (January 14, 2010)
http://www.futuresindustry.org/downloads/CFTC_Position_Limit_Proposal_Q_and_A.pdf

CFTC Chairman Gary Gensler Closing Statement (Jan. 14, 2010)
http://www.cftc.gov/ucm/groups/public/@newsroom/documents/speechandtestimony/
genlerstatement2_011410.pdf

CFTC Chairman Gary Gensler Opening Statement on Position Limit Proposal (Jan. 14, 2010)
http://www.futuresindustry.org/downloads/genslerstatement011410.pdf

Dunn, O'Malia and Sommers Statements (Jan. 14, 2010)
http://www.futuresindustry.org/downloads/dunnstatement011410.pdf
http://www.futuresindustry.org/downloads/omaliastatement011410.pdf
http://www.futuresindustry.org/downloads/sommersstatement011410.pdf

Statement of Steve Sherrod, CFTC Acting Director of Surveillance (Jan. 14, 2010)
http://www.futuresindustry.org/downloads/Tab_8b-Statement_of_Sherrod_Jan_14_2010.pdf

Tables and Graphs Showing Impact of CFTC Position Limit Proposal (Jan. 14, 2010)
http://www.futuresindustry.org/downloads/proposedrule011410_sherrod.pdf

CFTC Commissioner Bart Chilton Statement on Position Limit Proposal (Jan. 14, 2010)
http://www.futuresindustry.org/downloads/chitlonstatement011410.pdf

CFTC General Counsel Dan Berkovitz Statement (Jan. 14, 2010) 
(Background on Position Limits and the Hedge Exemption) 
http://www.futuresindustry.org/downloads/Statement_of_Dan_MBerkovitz_011410.pdf

UK Treasury and FSA Position Paper on OTC Derivatives Reform (Chapter 9 covers position limits) (Dec. 2009)
http://www.fsa.gov.uk/pubs/other/reform_otc_derivatives.pdf

“Position Limits Start to Bite”, Futures Industry, (November 2009)
http://www.futuresindustry.org/downloads/Nov_09-Pos_Limits.pdf

“CFTC Examines Position Limits”, Futures Industry, (September 2009)
http://www.futuresindustry.org/downloads/Sep_09-Pos_Limits.pdf

CME White Paper on Excessive Speculation and Position Limits in Energy Derivatives Markets (Sept. 16, 2009)
http://www.cmegroup.com/company/files/PositionLimitsWhitePaper.pdf

CME Advisory Notice on Position Limits (Sept. 11, 2009) 
http://www.cmegroup.com/rulebook/files/CME_Group_RA0909-5.pdf

Testimony and Statements from CFTC Hearings on Speculative Position Limits in Energy Futures, Day 3 (Aug. 5, 2009)
http://www.cftc.gov/newsroom/cftcevents/2009/oeaevent080509.html

FIA Testimony to CFTC on Price Discovery, Position Limits and Hedge Exemptions (Aug. 5, 2009)
http://www.futuresindustry.org/downloads/hearing080509_young.pdf

CFTC Chairman Gary Gensler Statement on Position Limits (July 29, 2009)
http://www.cftc.gov/ucm/groups/public/@newsroom/documents/speechandtestimony/
genslerstatement072909.pdf

Testimony and Statements from CFTC Hearings on Speculative Position Limits in Energy Futures, Day 2 (July 29, 2009)
http://www.cftc.gov/newsroom/cftcevents/2009/oeaevent072909.html

Brief Legislative History of Position Limits and the Hedge Exemption (July 28, 2009)
(Testimony of CFTC General Counsel Dan Berkovitz)
http://www.cftc.gov/ucm/groups/public/@newsroom/documents/speechandtestimony/
berkovitzstatement072809.pdf

Testimony and Statements from CFTC Hearings on Speculative Position Limits in Energy Futures, Day 1. (July 28, 2009)
http://www.cftc.gov/newsroom/cftcevents/2009/oeaevent072809.html

ICE Statement Regarding CFTC Position Limit Initiatives (July 9, 2009)
http://ir.theice.com/releasedetail.cfm?ReleaseID=395240

Current Position Limits and Position Accountability Levels at ICE Futures U.S. (Feb. 10, 2009)
https://www.theice.com/publicdocs/futures_us_reports/all/Futures_US_Position_Limits.pdf


Resources

IFM Position Limit Databank
http://www.theifm.org/index.cfm?inc=plimits/PLD.inc

CME Rules on Position Limits and Exemptions
http://www.cmegroup.com/rulebook/CME/I/5/59.html

CME Procedures for Position Limit Violations 
http://www.cmegroup.com/rulebook/CME/I/4/43.html

Current Position Limits, Position Accountability Levels and Reportable Position Levels at CME Group Exchanges
http://www.cmegroup.com/market-regulation/position-limits/index.html

Advertisement