The Commodity Futures Trading Commission has unanimously approved proposed rules known collectively as Regulation Automated Trading or Regulation AT. The proposal is a series of risk controls, transparency measures, and other safeguards to enhance the U.S. regulatory rules for automated trading, according to the Hagstrom Report. The notice of proposal will be open for a 90-day public comment period. CFTC Chairman Timothy Massad said in a statement that he strongly supports the action, saying “today almost all trading is electronic in some form.” Massad noted that over the last few years, more than 70 percent of all trading has become automated. He says while that has brought many benefits, “its extensive use also raises important policy and supervisory questions and concerns.” The proposed rule includes risk controls at three levels — the exchange level, clearing member level and trading firm level.
Welcome
