Commodity Futures Trading Commission February 2, 2005 – Federal Register Recent Federal Regulation Documents

Section 4d(a)(2) of the Commodity Exchange Act (``CEA'') and related Commission regulations (hereinafter collectively referred to as ``segregation requirements'') require that, among other things, all funds deposited with a futures commission merchant (``FCM'') to purchase, margin, guarantee, or secure futures or commodity options transactions and all accruals thereon (``customer funds'' or ``customer margin'') be accounted for separately, be held for the benefit of customers and deposited under an account name that clearly identifies them as such, and not be commingled with the FCM's own funds,\1\ Further, the Division of Clearing and Intermediary Oversight (``Division'') has construed these provisions to prohibit any impediments or restrictions upon an FCM's ability to obtain immediate access to customer funds.