US futures brokers could be forced out of business if Washington regulators push forward with a plan to increase capital requirements by at least 25 per cent, Newedge, one of the biggest companies in the sector has warned. The proposal by the Commodity Futures Trading Commission seeks to increase to 10 per cent from 8 per cent the amount of money that a broker must set aside from its own funds to cover unforeseen losses by its clients or as a result of its own trading activities.

This entry was posted by Stacy-Marie Ishmael on Monday, July 6th, 2009 at 4:40 and is filed under Capital markets, Commodities. Tagged with Brokers, CTFC, Regulation, us. Edit this entry.