Transparency appears to be the watchword in Washington, as regulatory agencies strive to implement the reforms of new financial legislation.
The Commodity Futures Trading Commission announced today that it will begin publishing a new report called “Traders in Financial Futures.” The report will look at the positions of large traders in the financial futures markets and separate them into four categories.
Three of the categories comprise the buy-side participants: Asset Manager/Institutional; Leveraged Funds; and Other Reportables. The fourth category, Dealer/Intermediary, represents the sell-side participants who earn commissions by selling financial futures and other products.
The report will show a breakdown of open interest in markets where “20 or more traders hold positions equal to or above report levels established by the CFTC.”
Transparency is the main goal of the CFTC’s new report, as they hope to make public a larger amount of information concerning the changes in the composition of financial futures markets from week to week. It is based on the same data sets which appear in the existing weekly Commitments of Traders Reports.
The CFTC will also provide four years of historical data for the report, to give readers some sense of context.
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