CFTC Shifts Approach: Cooperation Key in Misconduct Cases Before Penalties

The Commodity Futures Trading Commission (CFTC) is modifying its approach to misconduct cases, with a new policy placing greater emphasis on cooperation and self-reporting before imposing fines. This shift signals a change in enforcement strategy for the derivatives regulator. Acting Chair Caroline Pham emphasizes that this adjustment aims to incentivize companies to proactively address issues and resolve cases with reasonable penalties more quickly. She further notes that this approach aligns with President Trump’s administration’s directive to lessen burdensome regulations, as laid out by the White House.