Thomas v. Met. Life Ins. Co. (10th Cir. Feb. 2, 2011) February 2, 2011 The Tenth Circuit Court of Appeals issued a decision determining whether a "financial services" representative employed by a broker-dealer was acting as an unregistered investment adviser or if the representative fit under the broker-dealer exception to the definition of investment adviser for advice that is "solely incidental" to services as a broker or dealer and done without receipt of "special compensation." The court analyzed the legislative history and SEC interpretations of section 202(a)(11) of the Advisers Act, and

CFTC PR 5981-11 February 7, 2011 The CFTC announced that Newedge USA, LLC, a Chicago-based futures commission merchant, will pay a $140,000 civil monetary penalty and disgorge $80,910 to settle CFTC charges of exceeding speculative position limits in the October 2009 live cattle futures contract on the Chicago Mercantile Exchange by more than 4,000 contracts and failing to provide accurate and timely reports to the CFTC regarding their large trader positions. Cross References CEA Sec. 4a(e)

National Futures Association Forex Transactions: A Regulatory Guide NFA Guide for forex transactions. Revised and updated to incorporate NFA Compliance Rule 2-48 (Forex Dealer Member Daily Trade Data Reports) as well as amendments to NFA's Financial Requirements for Forex Dealer Members. NFA's forex requirements apply only to Members whose forex activities are not subject to oversight by another regulator. Date February 2011 Cross References Dodd-Frank Act, Title VII, Sec. 742; CEA Sec. 2(c)(2); 17 CFR Part 5; NFA Compliance Rules 2-41 and 2-48.

In-depth article analyzing the CFTC's efforts to implement new authority to impose federal position limits on derivatives. The article quotes a Cadwalader attorney regarding the scope of the rules being proposed by the CFTC and the methodology being employed to calculate limits as they would apply to swaps. The article also observes that the proposed aggregation requirement could force commodity exchange-traded funds to aggregate their positions leaving them vulnerable to breaching the proposed limits. Publication Risk.net Date February 3, 2011 Cross References Dodd-Frank Act, Title VII, Secs

CFTC Speeches The CFTC Chairman, addressing the ABA Committee on Derivatives and Futures Law discusses implementation of Dodd-Frank and repeats his theme that "the American public benefits most when markets are transparent, open and competitive. The U.S. swaps market today does not have these features. Rather, it has been opaque and concentrated amongst a small group of dealers. It was the intent of Congress in passing the Dodd-Frank Act to bring diversity and sunshine to the market. It is our mission at the CFTC to fulfill Congress's mandate." Date February 4, 2011 Cross References Dodd-Frank