Registration for Commodity Futures CTA is required under the Commodity Exchange Act, which was passed in 1936 to better oversee the futures and options markets.
Registration is required for any Commodity Futures CTA individual or firm profiting from the advice they give, unless they have not provided more than 15 persons with advice over the last year and they do not advertise themselves as a CTA. Worldwide Futures Systems is registered CTA through the National Futures Association.
A Commodity Trading Advisor (CTA) can make recommendations to the client advising to buy specific commodities futures contracts or sell them if they reach a certain price level. This can be information in general given to many or it can be tailored to the trading needs of a particular client based upon the type and style of trading of that client such as futures managed accounts. How this advice is communicated to the client can be done in any manner that is practical and agreed upon by the Commodity Trading Advisor and the client.
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