Commodity Futures Trading Commission

The Commodity Futures Trading Commission, the Federal regulatory agency for futures trading, was established by the Commodity Futures Trading Commission Act of 1974 (7 U. S. C. 4a). The Commission began operation in April 1975, and its authority to regulate futures trading was renewed by Congress in 1978, 1982, 1986, 1992, 1995, and 2000. The mission of the Commodity Futures Trading Commission is to protect market users and the public from fraud, manipulation, and abusive practices related to the sale of commodity futures and options, and to foster open, competitive, and financially sound commodity futures and option markets. The Commission consists of five Commissioners who are appointed by the President, with the advice and consent of the Senate. One Commissioner is designated by the President to serve as Chairman. The Commissioners serve staggered 5-year terms, and by law no more than three Commissioners can belong to the same political party. The Commission has six major operating components: the Divisions of Market Oversight, Clearing and Intermediary Oversight, and Enforcement and the Offices of the Executive Director, General Counsel, and Chief Economist.