Futures Commission Merchant - FCM
A futures commission merchant is able to handle futures contract orders as well as extend credit to customers wishing to enter into such positions. These include many of the brokerages that investors in the futures markets deal with.
Investment dictionary. Academic. 2012.
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Commission Merchant — A term used in futures markets to describe a firm or individual that makes a trade on behalf of another member of an exchange or for a non member client, but who carries out the trade in their own name and becomes liable as principal. ► See … Financial and business terms
merchant — mer‧chant [ˈmɜːtʆnt ǁ ˈmɜːr ] noun [countable] COMMERCE 1. a person or organization that buys and sells goods or a particular type of goods: • US tobacco merchants are depending more and more on international sales. • wine merchants and… … Financial and business terms
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
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
FCMs — Futures Commission Merchant. Individuals, associations, partnerships, corporations and trusts that solicit or accept orders for the execution of a commodity transaction on and pursuant to the rules of a contract market and which accept payment… … Financial and business terms
associated person — ( AP) An individual who solicits orders, customers, or customer funds (or who supervises persons performing such duties) on behalf of a Futures Commission Merchant, an Introducing Broker, a Commodity Trading Adviser, or a Commodity Pool Operator … Financial and business terms
USA PATRIOT Act, Title III, Subtitle A — The USA PATRIOT Act was passed by the United States Congress in 2001 as a response to the September 11, 2001 attacks. It has ten titles, with the third title ( Title III: International Money Laundering Abatement and Financial Anti Terrorism Act… … Wikipedia
registered representative — A person registered with the CFTC who is employed by and solicits business for a commission house or futures commission merchant. Bloomberg Financial Dictionary A person employed by, and soliciting business for, a commission house or futures… … Financial and business terms
commodity broker — Under Title 11 U.S.C. Section 101: (6) The term commodity broker means futures commission merchant, foreign futures commission merchant, clearing organization, leverage transaction merchant, or commodity options dealer, as defined in section 761… … Glossary of Bankruptcy
Omnibus account — An account carried by one futures commission merchant with another futures commission merchant in which the transactions of two or more persons are combined and carried in the name of the originating broker, rather than designated separately.… … Financial and business terms