INTL FCStone announced that it does not, in the short term, intend to acquire an interest in Cleartrade Exchange, the commodity futures exchange headquartered in Singapore. "Despite the success of this process in terms of verifying CLTX's operational and business infrastructure, it is with regret that INTL FCStone has determined it is unable to take any stake in the organization at this time. This change in strategy is due to the recent publication of further Dodd Frank rules and the increased complexity and current uncertainty that we see these placing on a business of this type operating in the U.S.," said Scott Branch, president of INTL FCStone. "Uncertainty associated with recent changes in U.S. regulatory requirements for Exempt Commercial Markets, which CLTX intends to address through its application to be registered in the U.S. with the CFTC as a Foreign Board of Trade, is the only reason INTL FCStone concluded it could not invest in CLTX at this time," said Cleartrade Exchange CEO Richard Baker.
- Commodity Markets
- INTL FCStone