The CFTC’s regulatory mechanism in duality, especially trading organizations: Designated Contract Markets and Swap Execution Facilities.
The Commodity Futures Trading Commission (CFTC) has issued an order filing and settling charges against Swapnil Rege on July 18th, a former portfolio manager for a Connecticut-based hedge fund registered with the CFTC as a commodity pool operator (CPO), for fraudulently mismarking swap valuations to artificially inflate the profits of his employer’s trading book in order to obtain an increased performance bonus.
CFTC positions in US equity futures by Leveraged funds and Asset managers (as a % of open interest). It is an aggregate of the S&P500, Dow Jones, NASDAQ, and their Mini futures contracts.
The order has penalized portfolio manager for a Connecticut-based hedge fund a mammoth $100,000 as a civil monetary penalty, as well as to disgorge the $600,000 performance bonus (plus pre-judgment interest in the amount of $49,170.84). In addition, it prohibitsRege from trading on or subject to the rules of any CFTC-registered exchange or other CFTC-registered entity and from seeking registration with the CFTC for at least three years, among other prohibitions. Courtesy: CFTC sources


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