CME Group officials say they’re opposed to the CFTC’s residual interest proposal. This is one of the new customer protection measures the agency is looking at to protect customer segregated accounts from another MF Global incident. However, the proposal calls for accounts to literally be pre-funded to cover margins before trading. Tim Andriesen with the CME Group says this is unacceptable.
He says it’s not just farmers that are opposed to the residual interest proposal.
The new rules are set to go into effect a year from now.