Day: January 17, 2010

CFTC Wants to Limit Leverage to 1:10

The U.S. Commodity Futures Trading Commission (CFTC) has put up a new regulatory proposition for the market participants to discuss. In addition to the capital, regulatory and risk-disclosure requirements, the FCMs (futures commission merchants) and RFEDs (retail foreign exchange dealers) will be limited to 1:10 leverage maximum. Considering the popularity of 1:100 leverage in the on-line Forex industry, such a limit, if implemented, would hit hard the Forex broekrs registered or operating in United States. […]