Proposed Rule

2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 | 2000 | 1999 | 1998 | 1997 | 1996

PROPOSED AMENDMENTS
(additions are underscored and deletions are stricken through)

INTERPRETIVE NOTICES

* * *

FOREX TRANSACTIONS WITH FOREX DEALER MEMBERS

INTERPRETIVE NOTICE

* * *

C. OTHER REQUIREMENTS

* * *

1. Bylaw 1301

Forex Dealer Members are not required to pay assessment fees on retail off-exchange forex transactions. Instead, NFA Bylaw 1301(e) imposes annual dues that are graduated according to the firm's gross annual revenue from customers (e.g., commissions, mark-ups, mark-downs) for these activities. Profits and losses from proprietary trades are not to be included. To calculate dues:

  • Start with the FCM dues imposed by NFA Bylaw 1301(b)(ii);

  • Add $14,375 if the Forex Dealer Member's gross annual revenue from acting as counterparty to retail forex transactions is $500,000 or less;

  • Add $7,500 $24,375 if the Forex Dealer Member's gross annual revenue from acting as counterparty to retail forex transactions is more than $100,000 $500,000, but not more than $2,000,000; and

  • Add $44,375 if the Forex Dealer Member's gross annual revenue from acting as counterparty to retail forex transactions is more than $2,000,000, but not more than $5,000,000; or

  • Add $94,375 an additional $5,000 if the Forex Dealer Member's gross annual revenue from these activities is more than $1,500,000 $5,000,000.

For example, a Forex Dealer Member with annual revenue in excess of $1,500,000 for which NFA is the designated self-regulatory organization would pay annual dues of $18,125, calculated as follows:

    Annual dues for an FCM for which NFA is the DSRO $ 5,625
    Plus amount for forex revenue over $100,000 7,500
    Plus amount for forex revenue over $1,500,000 + 5,000
    Total dues $18,125

    The following table shows the dues to be assessed for Forex Dealer Members:

    Amount of annual Gross Revenue From Off-Exchange Retail Forex Transactions Dues if NFA is the DSRO Dues if NFA is not the DSRO
    $500,000 or less $20,000 $15,875
    More than $500,000, but not more than $2 million $30,000 $25,875
    More than $2 million, but not more than $5 million $50,000 $45,875
    More than $5 million $100,000 $95,875

    The dues will be assessed on the firm's membership renewal date and will be based on the Forex Dealer Member's latest certified financial statement.

NFA is the premier independent provider of efficient and innovative regulatory programs that safeguard the integrity of the futures markets.
Site Index | Contact NFA | News Center | FAQs | Career Opportunities | Industry Links | Home
© National Futures Association All Rights Reserved. | Disclaimer and Privacy Policy