1st Nov 2009 by Joseph Pousada
In a number of countries the commodities / futures industry is regulated and will require someone to become licensed before acting in the capacity of a broker (usually referred to in the United States as an “associated person.”) In the United States the Legislative branch has created the CFTC (Commodity Futures Trading Commission) agency to provide oversight of the Commodities / Futures industry. The CFTC has delegated certain responsibilities to the NFA (National Futures Association) a SRO (Self Regulatory Organization) and to the exchanges to self regulate themselves as well. The most comprehensive license used for futures / commodities associated persons is the series 3 license. These brokers place trades on behalf of customers.
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