The CFTC announced that its Market Participants Division (MPD) had issued Interpretive Letter 25-38, responding to a request from the Futures Industry Association (FIA). The letter confirms that Regulation 30.7 does not impose a blanket ban on using customer-owned or customer-funded securities as margin at foreign brokers and clearing organizations, and
CFTC guidance frees up foreign margin securities for US FCMs
The CFTC’s Market Participants Division’s latest letter clarifies how futures commission merchants can use customer securities at foreign intermediaries.