The Commodity Futures Trading Commission has announced that it will hold a hearing on September 18 to examine the oversight of trading on regulated futures exchanges and exempt commercial markets (ECMs). Members of the energy trading community, financial services trade associations and energy consumer groups will testify at the hearing. The CFTC hearing will focus on a number of issues, including:
- the tiered regulatory approach of the Commodity Futures Modernization Act of 2000 and whether this risk-based model is beneficial;
- the similarities and differences between ECMs and regulated exchanges;
- the associated regulatory risks of each market category;
- the types of regulatory or legislative changes that might be appropriate to address such identified risks; and
- the impact that regulatory or legislative changes might have on the U.S. futures industry and the global competitiveness of the U.S. financial industry in general.