Futures commission merchant

A firm or person engaged in soliciting or accepting and handling orders for the purchase or sale of futures contracts, subject to the rules of a futures exchange and, who, in connection with such solicitation or acceptance of orders, accepts any money or securities to margin any resulting trades or contracts. The FCM must be licensed by the CFTC. Related: commission house , omnibus account

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   ► See FCM.

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futures commission merchant UK US noun [C] FINANCE, STOCK MARKET
a person or organization that buys and sells futures for investors

Financial and business terms. 2012.

Look at other dictionaries:

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  • commission house — An individual or organization that solicits or accepts orders to buy or sell futures contracts or options on futures and accepts money or other assets from customers to support such orders. Also referred to as wire house . Chicago Board of Trade… …   Financial and business terms

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  • Futures Industry Association — The Futures Industry Association (FIA) is a trade association in the United States composed of futures commission merchants. A futures commission merchant is analogous to a broker; they are entities that accept orders and payment for commodity… …   Wikipedia

  • Commission house — A firm which buys and sells future contracts for customer accounts. Related: futures commission merchant, omnibus account. The New York Times Financial Glossary * * *    A term used in futures markets to describe a firm that buys and sells… …   Financial and business terms

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