NADEX Undergoes Rule Enforcement Review By CFTC - Clean Bill Of Health Confirmed

The U.S. Commodity Futures Trading Commission (CFTC CFTC The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss Read this Term) has notified North American Derivatives Trading Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Inc. (NADEX) of the results of a rule enforcement review completed by the Commission’s Division of Market Oversight.

NADEX is one of two dedicated binary options exchanges in the United States, along with Cantor Exchange, as the provision of binary options in the United States is only permissible via exchanges in order to provide transparent details of transactions, all of which are public information.

The company's CEO, Yossi Beinart, was recently elected to the prestigious position of CEO of the Tel Aviv Stock Exchange, demonstrating his high standing as a leading industry professional.

The CFTC review covered the target period from June 15, 2011 through June 15, 2012, during which the Division of Market Oversight evaluated NADEX’s compliance with Core Principles 2 (Compliance With Rules) and 12 (Protection of Market Participants), which relate to an exchange’s trade practice surveillance program.

The Division found that NADEX maintains an adequate trade practice surveillance program, including adequate staff, systems, investigatory work and sanctions.

The Division also found specific areas where NADEX should improve its trade practice program. Among other items, the Division recommended that NADEX improve the recordkeeping of its investigation logs and investigation memoranda.

With respect to the composition of NADEX's Regulatory Oversight Committee (ROC), the Division recommended that NADEX implement tie-breaking procedures to resolve tie votes in its ROC, or alternatively, the Exchange should ensure that the committee is composed of an odd number of members greater than one.