The Commodity Futures Trading Commission granted an order authorizing certain members of the Korean Exchange to offer and sell futures and options traded on KRX to US persons, and carry funds and resulting positions on their behalf without having to register as a futures commission merchant. KRX members seeking to take advantage of this relief must first file certain information with the National Futures Association. KRX first applied for this relief for its members in January 2009.
Compliance Weeds: The Commodity Futures Trading Commission’s relief granted to certain members of the Korea Exchange only relates to such members’ transactions in futures and options on futures traded on KRX. The relief does not apply to members transacting in options on securities such as the Kospi 200 index options that do not reference a futures contract.