National Futures Association Moots New Rules for Swap Dealer Supervision of Employees and Agents

The National Futures Association (NFA) has set out plans for a new rule provision that would require swap dealers and participants to supervise their employees and agents in their business activities concerning swaps. The proposals are “broadly written”, with the intention that members can develop and tailor their own supervisory programs to suit their business activities.

Meanwhile, NFA has also put forward amendments to its supervisory rule 2.9 that will clarify that it applies to all commodity interest activities of futures commission merchants, from brokers to commodity trading advisors.