CFTC - Commodity Futures Trading Commission of the United States

It's rare to find a dealing center or a brokerage companywhich offers to trade only one type of asset. Usually we see a wide range: Forex, stocks, metals, futures, etc. Therefore, when receiving the right to trade a new type of instrument, the company is often obliged to obtain another license from another regulator. This time fortrader.org magazine offers to get acquainted with the U.S. Futures Markets Regulatory Commission or CFTC.

Futures regulation in the USA - CFTC

• Full name: Commodity Futures Market Regulatory Commission
• English title: Commodity Futures Trading Commission
• Abbreviated title: CFTC
• Subordinate countries: U.S.
• Funding: from receipts from controlled organizations
• Degree of trust of traders: tall
• Official website: www.cftc.gov

This organization is an independent agency in the U.S. and, for the most part, as the name suggests, directs its efforts to regulate the futures markets, as well as setting parameters on them. The CFTC was created in 1975 as a result of a merger between the country's Department of Agriculture and the commodity exchange. The main objective of the organization is to ensure safety of investments by private investors, which is achieved by complete control over the activities of financial institutions and suppression of fraudulent operations with futures contracts.

Structure and credibility of the CFTC

Policies on supervisory activities CFTC is realized through the functioning of several independent but constantly cooperating units.

• Thus, in department risk calculations forecast calculations are made, the purpose of which is to make assumptions about the development of the financial system in the case of the implementation of a particular economic plan.
• В Market Control Department employees are busy supervising the activities of intermediary structures and private brokers, the methodology of their orders.
• Rights Protection Department is designed to ensure the fairness and integrity of investments by private investors within brokerage structures.
• В The division of the chief economist, on the other hand calculation of many financial indicators, forming proposals and recommendations to other departments on monetary issues.
• В Department of General Legal Counsel You can inquire about all legal issues related to exchange trading on the futures market.
• Finally, executive director's unit is a department that carries out the necessary measures to ensure the maintenance of exchange order on the basis of information coming from other departments.

As can be seen, by the forces of CFTC is controlled by the U.S. futures market in a variety of ways. Since many brokers providing services in the CIS countries at the same time provide access to both the foreign exchange and stock market, as well as the futuresThe factor of regulation of the intermediary organization you have chosen by this supervisory body can be considered very important.