Futures commission merchant: Difference between revisions

Latest revision as of 13:30, 14 August 2024

Brokerage Anatomy™

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FIA/ISDA documentation \| Trading capacities: Principal \| Undisclosed principal Riskless principal \| Agent \| Undisclosed agent Broker types: Broker \| Dealer \| Broker/dealer \| Executing broker \| Clearing broker \| Prime broker \| FCM \| CCP Clearing: Clearing overview \| How clearing works \| What gets cleared? \| Who clears? \| Clearing documentation

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A futures commission merchant is an individual or organization which does both of the following:

Solicits or accepts orders to buy or sell futures contracts, options on futures, retail off-exchange forex contracts* or swaps and
Accepts money or other assets from customers to support such orders.

Registration is required unless:

You handle transactions only for yourself or your firm itself or your firm’s affiliates, top officers, or directors or
You are a non-U.S. resident or firm with only non-U.S. customers and you or your firm submits all trades for clearing to an FCM.

All registered FCMs must be Members of NFA in order to conduct futures business with the public.

@@ Line 1: / Line 1: @@
-An FCM is an individual or organization which does both of the following:
+{{anat|brokerage}}A [[futures commission merchant]] is an individual or organization which does both of the following:
 *Solicits or accepts orders to buy or sell [[futures]] contracts, options on futures, retail off-exchange forex contracts* or swaps and
@@ Line 6: / Line 6: @@
 Registration is required unless:
 *You handle transactions only for yourself or your firm itself or your firm’s affiliates, top officers, or directors or
-*You are a non-U.S. resident or firm with only non-U.S. customers and you or your firm submits all trades for clearing to an {{tag|FCM}}.
+*You are a non-U.S. resident or firm with only non-U.S. customers and you or your firm submits all trades for clearing to an [[FCM]].
-All registered FCMs must be Members of {{tag|NFA}} in order to conduct futures business with the public.
+All registered FCMs must be Members of [[NFA]] in order to conduct futures business with the public.
 ===More Information===