Makin’ It Rain on the CFTC?

This IRS scandal just won’t quit. Earlier this year, news broke that the IRS was specifically targeting tea party groups (and to a lesser extent liberal groups). Months after President Obama tasked the FBI with a thorough investigation of said scandal, there’s no investigation in sight, and the FBI was unable to name a lead investigator on Capitol Hill (video of that here).  Now, a Senate committee approved a bill to allocate more funds to the IRS (enraging some GOP members.) So why do we in the managed futures world care?

It just so happens the bill would also increase funding for the CFTC.  If you scroll 2/3 of the way down The Hill article, you’ll find they articulate this as funding for the implementation of the Dodd-Frank financial reform law.

“The Commodity Futures Trading Commission (CFTC) gets $110 million more, and the Securities and Exchange Commission (SEC) gets $353 million.”

Wow! The CFTC got what they wanted… and more! They proposed a 2013 budget of $308 Million, asking for an additional $102 Million in comparison to the prior year, and wound up with an extra $110 Million. Not too shabby.

Now maybe the CFTC can get to work syncing up their rules with the recently approved JOBS act, so that commodity pool operators can be on equal footing (for once) with their hedge fund cousins as they ponder advertising their funds (see our take here).  And if they don’t think that is where they want to go with it – they could always use it to help make PFG customers whole, or turn up the heat on US Bank a little more. We won’t hold our breath…

Write a Comment

The performance data displayed herein is compiled from various sources, including BarclayHedge, RCM's own estimates of performance based on account managed by advisors on its books, and reports directly from the advisors. These performance figures should not be relied on independent of the individual advisor's disclosure document, which has important information regarding the method of calculation used, whether or not the performance includes proprietary results, and other important footnotes on the advisor's track record.

Benchmark index performance is for the constituents of that index only, and does not represent the entire universe of possible investments within that asset class. And further, that there can be limitations and biases to indices such as survivorship, self reporting, and instant history.

Managed futures accounts can subject to substantial charges for management and advisory fees. The numbers within this website include all such fees, but it may be necessary for those accounts that are subject to these charges to make substantial trading profits in the future to avoid depletion or exhaustion of their assets.

Investors interested in investing with a managed futures program (excepting those programs which are offered exclusively to qualified eligible persons as that term is defined by CFTC regulation 4.7) will be required to receive and sign off on a disclosure document in compliance with certain CFT rules The disclosure documents contains a complete description of the principal risk factors and each fee to be charged to your account by the CTA, as well as the composite performance of accounts under the CTA's management over at least the most recent five years. Investor interested in investing in any of the programs on this website are urged to carefully read these disclosure documents, including, but not limited to the performance information, before investing in any such programs.

Those investors who are qualified eligible persons as that term is defined by CFTC regulation 4.7 and interested in investing in a program exempt from having to provide a disclosure document and considered by the regulations to be sophisticated enough to understand the risks and be able to interpret the accuracy and completeness of any performance information on their own.

RCM receives a portion of the commodity brokerage commissions you pay in connection with your futures trading and/or a portion of the interest income (if any) earned on an account's assets. The listed manager may also pay RCM a portion of the fees they receive from accounts introduced to them by RCM.

See the full terms of use and risk disclaimer here.