Remember that one time last year when we talked about how the pits might be dying? Well, it looks like we’re only a couple of nails away from burying this coffin.
Category: Macro Commentary
26
Jul
2012
PFGBest Update: Dear House Committee on Agriculture
The House Committee on Agriculture questioned NFA President Dan Roth, and while they got a few things right, we were hoping for a lot more. Representatives, here’s a what you need to know – and why we still need a full Congressional investigation of the NFA.
24
Jul
2012
PFGBest Update: The Place Where Logic Goes to Die
Hardly a day goes by without someone asking us if it’s possible to sue the NFA. As it turns out, holding the regulators accountable might not be so easy – they enjoy a wide breadth of immunity, and that’s a problem that goes far beyond recent scandals.
24
Jul
2012
The Mother of All Conflicts of Interest
Financial advisers are required to reveal any conflicts of interest they might have, hopefully to ensure that they always do what’s best for customers. As we ponder the lackluster government efforts to craft effective regulations for the financial industry, we’re left to wonder: shouldn’t we be focusing on Congressional conflicts of interest, too?
23
Jul
2012
PFGBest Update: Collateral Damage
While we’ve been focused on the impact that the PFGBest scandal has had on clients – and the failings of the regulators – the ripples extend throughout the industry. Today, we bring to you a letter from one of the managed futures programs that we’ve worked with in the past, stating that they are closing their doors following this most recent scandal and the impact it had on their business.
23
Jul
2012
PFGBest Update: What’s the point?
The NFA seems to be expressing some confusion over whether or not the regulators are supposed to be on the lookout for fraud. We wish we were kidding.
20
Jul
2012
So, what do we do next?
There’s no way around it: the recent scandals at MFGlobal and PFGBest have rocked confidence in the futures industry. Some of the issues of concern to investors are being addressed, and these developments are promising, but the question still remains: where do we go from here?
18
Jul
2012
PFGBest Update: 7 Takeaways from the CCC Bankruptcy Breakdown
Our friend John Roe at the Commodity Customer Coalition (CCC) has a great piece out regarding the PFGBest bankruptcy and some details of how things could unfold. We look at the key points he raises, and what it could mean for PFG clients.
18
Jul
2012
PFGBest Update: A Lack of Understanding
The NFA recently announced that they had retained the law firm Jenner and Block to conduct a review of their audit procedures. This is a step in the right direction, but a far cry from the full congressional investigation that is needed – especially with the additional responsibilities the NFA is soon to acquire.
17
Jul
2012
PFGBest Update: NFA on hook for $870k?
Now we know where at least some of the missing PFG money went – Russ Wasendorf, Sr. claims that used customer funds to pay fines and fees to regulators. Since that money wasn’t PFG’s to give, it seems obvious what ought to be done with it.
