FIA Unveils New Brand
FIA unveiled a new brand at its annual conference in Boca Raton, Florida. The new brand is designed to reflect the association's expanded mission as a global organization that unites and empowers members across Asia, Europe and the Americas. In conjunction with this mission, FIA will launch a new website in late 2014.
FIA Issues Statement on H.R. 4413, CFTC Reauthorization Bill (April 9, 2014)
Washington, D.C.—April 9, 2014—FIA today issued the following statement in response to the House Agriculture Committee’s voice vote on H.R. 4413, a bill which reauthorizes the Commodity Futures Trading Commission through September 2018. The legislation also includes provisions to better protect customer assets, it revises the organizational and operational requirements of the CFTC staff, and it provides regulatory relief to end-users of derivatives.
“FIA commends the House Agriculture Committee for its continued bi-partisan approach to developing thoughtful legislation. While the process of enacting these statutory changes is far from complete, such thoughtful coordination among the various political interests is critical to ensuring that the final product yields a balanced outcome.”
FIA Launches SEF Tracker to Measure Swap Trading Activity (April 8, 2014) Washington, D.C.—April 8, 2014—FIA today is launching SEF Tracker, a periodic report on trading activity taking place on swap execution facilities. FIA has developed this report to provide the public with a better understanding of these new venues for the trading of over-the-counter derivatives. Learn More
FIA Special Report: End-Users Discuss Concerns at CFTC Roundtable (April 7, 2014)
The Commodity Futures Trading Commission hosted a roundtable on April 3 to give hedgers and other commercial end-users an opportunity to discuss their concerns with a number of Dodd-Frank requirements. Among the topics were recordkeeping requirements, the treatment of volumetric options, and the treatment of swap transactions with public utilities and other "special entities."
FIA’s Lukken Calls for Regulatory Pragmatism at SIFMA Compliance and Legal Seminar (April 2, 2014)
Walt Lukken, FIA’s president and chief executive officer, discussed the implementation of Dodd-Frank in a keynote speech delivered at the SIFMA Compliance and Legal Seminar on April 2. Lukken focused on five broad trends affecting the derivatives industry and emphasized the need for regulatory pragmatism and cooperation as the new rules are put into effect.
U.S. and European Trade Associations Issue Joint Statement on Transatlantic Trade and Investment Partnership (Mar. 25, 2014)
FIA joined with 14 other U.S. and European trade associations in urging policymakers in the U.S. and Europe to include financial services in the Transatlantic Trade and Investment Partnership. The joint statement was issued on March 25 in advance of the EU-U.S. Summit in Brussels on March 26 attended by U.S. President Barack Obama, European Council President Herman Van Rompuy and European Commission President José Manuel Barroso.
FIA Global Elects Directors (Mar. 11, 2014)
Washington, D.C. and Boca Raton, Fla. - March 11, 2014 - FIA Global today announced the election of directors for the board of FIA Global, the organizational structure established to unite FIA, FIA Asia and FIA Europe.
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FIA Elects Directors and Officers (Mar. 11, 2014)
Washington, D.C. and Boca Raton, Fla. - March 11, 2014 - FIA today announced the election of board directors at its annual meeting in Boca Raton, Fla. Fifteen directors were elected in total at this meeting, including eight regular member directors for two-year terms; two regular member directors for one-year terms; four associate member directors for two-year terms; and one associate member director for a one-year term. Following the election, the new board elected the association’s officers and public directors.
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FIA Volume Report: Global Futures and Options Volume Rose 2.1% to 21.64 Billion in 2013 (Mar. 10, 2014)
Boca Raton, Fla.—March 10, 2014—FIA today released its annual report on global trends in the trading of futures and options. According to statistics gathered by FIA from 84 exchanges worldwide, 21.64 billion futures and options contracts were traded in 2013, an increase of 2.1% from the previous year, but still well below the number of contracts traded in 2011 and 2010.
Futures trading accounted for 12.22 billion contracts, just over 56% of total industry volume. Trading of options accounted for the other 44%. By category, contracts based on equity indices and individual stocks accounted for 11.77 billion, 54% of total volume. Interest rate futures and options accounted for 3.33 billion, 15% of total volume.
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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.
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.
FIA Requests Confirmation of Interpretation of CFTC Rule 1.73 Regarding SEFs and Bunched Orders (Jan. 31, 2014)
On Jan. 31 FIA submitted a letter to CFTC staff seeking confirmation that Rule 1.73 does not apply to agency-executed transactions on swap execution facilities. "Because the clearing FCM has the opportunity to screen the agency-executed swap transaction on a SEF for compliance with its limits before the transaction is executed and accepted for clearing, the executing agent has no need to screen swap orders for compliance with these limits," FIA wrote.
FIA also requested confirmation that bunched orders will not be subject to a provision in Rule 1.73 that applies to “give-ups” involving individual customers. FIA explained that because bunched orders involve multiple customers and do not identify at the time of execution the customers on whose behalf the order is executed or the amount of the order that is due to a particular customer, an initial clearing firm would not be able to apply and screen an individual customer limit.
FIA Issues Statement on Leadership Change at FOA (Jan. 13, 2014)
Washington, D.C.—Jan. 13, 2014—Walt Lukken, President and CEO of FIA and FIA Global, issued the following statement regarding the Futures and Options Association’s announcement of a change in leadership.
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FIA Responds to CFTC Concept Release on Risk Controls and System Safeguards for Automated Trading (Dec. 11, 2013)
Washington, D.C. - Dec. 11, 2013 - The Futures Industry Association today submitted an extensive response to the Commodity Futures Trading Commission’s Concept Release on Risk Controls and System Safeguards for Automated Trading. The response describes the many risk controls and system safeguards that are currently in use in the futures industry, and outlines several principles for the CFTC to consider as it examines ways to further strengthen those controls and safeguards. The response also contains detailed responses to specific questions posed by the CFTC in its concept release, and draws on the collective expertise of nearly 100 individuals from members of FIA and the FIA Principal Traders Group.
FIA Concept Release Response - Press Release
FIA Concept Release Response - Comment Letter