CFTC automated trading proposal worries energy firms

Companies surprised to learn they may need to register as algorithmic traders

cftc-pic-6
CFTC efforts to regulate automated trading spark alarm

As the US Commodity Futures Trading Commission (CFTC) moves to regulate algorithmic trading, energy companies have discovered to their surprise that they may fall within the scope of the CFTC's proposed rule, due to language that appears to cover popular tools for accessing oil, gas and power markets.

The CFTC's proposal, called Regulation AT, would require algorithmic trading firms to register with the commission, implement pre-trade risk controls and comply with various standards for the devel