The NFA has levied a $500,000 fine against Kent Charles Roberts II ("Roberts"), a former associated person ("AP") and principal of First Quadrant LP ("First Quadrant"), an NFA Member CTA and CPO located in Pasadena, California. NFA has also levied a $250,000 fine against First Quadrant. The Decision, issued by the NFA's Business Conduct Committee, is based on a Complaint filed on March 21, 2013, and a settlement offer submitted by First Quadrant and Roberts. The Complaint alleged that Roberts violated just and equitable principles of trade under NFA Compliance Rule 2-4 by allowing individuals

The MFA has submitted a comment letter to the SEC in response to its proposed implementation ofJOBS Act Section 201 ("Modification of Exemption"), in which the MFA responded to recommendations proposed by the SEC's Investor Advisory Committee for the SEC to make certain changes to the private offering framework and related regulations in connection with its implementation of the JOBS Act. The MFA's principal recommendations and commendations were as follows: agreed that the filing of Form D, or some other regulatory form, be made a condition to relying on Regulation D, provided that an issuer

SEC Chairman Elisse Walter delivered a speech (via video) to the Australian Securities and Investments Commission ("ASIC"), in which she focused on the obligation of financial regulators to work together, and to consider the burdens that inconsistent or conflicting regulation can put on market participants. The topic of her remarks which was likely of immediate interest to market participants was the implementation of Dodd-Frank. As a starting point, Chairman Walter stated the SEC took the view that consideration of the international implications of swap regulation was so important that the

The SEC's Division of Trading and Markets issued a series of FAQs on SEC Rule 15a-6, which provides an exemption from SEC registration for non-U.S. broker-dealers conducting limited securities activities using U.S. jurisdictional means. The FAQs address several important aspects of the Rule, including: Research to Majors: The FAQs confirm that non-U.S. broker-dealers may distribute research directly to "major U.S. institutional investors" ("Majors") under Rule 15a-6(a)(2) without any involvement of an SEC-registered broker-dealer. The FAQs further note that where the non-U.S. firm has an

IOSCO recently published a consultation report seeking comments on its recommendations for addressing issues stemming from increased market fragmentation. In a survey of its members, IOSCO found a rising trend in the fragmentation of equity markets, where the same financial instruments are being traded in multiple trading spaces. This trend was particularly pronounced in the U.S., the EU and Canada, where traditional exchanges compete for order flow with OTC trading and non-exchange market trading systems. In making its recommendations, IOSCO cautioned that regulators must balance the benefits