US prop traders face 1,117% capital hike on Treasury trades

Responses to SEC plan show PTFs’ alarm over threshold to register as Treasury dealers

US Securities and Exchange Commission, Washington, DC

Proprietary trading firms (PTFs) will need to hold exponentially more capital to conduct spread trades linked to the US Treasuries market if the Securities and Exchange Commission adopts a rule it has proposed, non-bank market-makers are warning.

In a comment letter to the SEC, the Futures Industry Association’s Principal Traders Group (FIA PTG), has quantified the capital impact of routing certain Treasuries trades through a registered dealer platform, rather than the current unregistered

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options


Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here