Whoever wrote this article seems to have overlooked the fact that most commodity ETF's simply trade the front-month futures contract setup on auto-roll.
So if the futures industry suffers from some sort of systemic problem in the coming months, it surely won't be any better in the ETF's.
And even if your funds may be more secure in a stockbroker's account (which is questionable at best), there are still some notable disadvantages to ETF's as compared to futures. Wildly inequitable tax distributions, PDT (pattern-day-trade) account lock-out rules, limited market hours, unresponsiveness to spot/futures market price changes . . and so on.
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The Trustee will be mailing approximately 75,000 paper forms to former customers and creditors of MF Global Inc. on or before Friday, December 2, 2011. In addition, to assist in the prompt processing of claims, claim forms and related claims information are available for downloading on the trustee's Web site ((MFG) Client Home) and on the SIPC Web site (SIPC - Securities Investor Protection Corporation).
In addition, the trustee published a detailed notice to customers and creditors of the placement of MF Global Inc. in liquidation under the Securities Investor Protection Act (SIPA) in the Wall Street Journal, the New York Times, the Financial Times, and the Chicago Tribune. The published notice provides information regarding the claims process, including instructions on how, where and by when to file a claim.
Completed forms may be mailed to the Trustee at the address included in the instruction packet. To submit your claim electronically, please email your completed claim form and supporting documents to MFGlobalClaims@epiqsystems.com.
This is a link to a Lady broker with a different point of view on many things, as well as on MF Global.
On Nov 17, she announced she is closing her Brokerage company as a result of the MF Global fiasco.
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Dear Clients, Industry Colleagues and Friends of Barnhardt Capital Management,
It is with regret and unflinching moral certainty that I announce that Barnhardt Capital Management has ceased operations. After six years of operating as an independent introducing brokerage, and eight years of employment as a broker before that, I found myself, this morning, for the first time since I was 20 years old, watching the futures and options markets open not as a participant, but as a mere spectator.
The reason for my decision to pull the plug was excruciatingly simple: I could no longer tell my clients that their monies and positions were safe in the futures and options markets – because they are not. And this goes not just for my clients, but for every futures and options account in the United States. The entire system has been utterly destroyed by the MF Global collapse. Given this sad reality, I could not in good conscience take one more step as a commodity broker, soliciting trades that I knew were unsafe or holding funds that I knew to be in jeopardy.
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This is her blog and contains many other interesting articles. If you take the time to look, there are other MF Global threads she posted leading up to this one, beginning Oct 26.
On Oct 26 within a thread labeled MISCELLANE - She said;
4. If any of you are doing any futures and/or options business with a broker or office that clears through MF Global, which is basically the old EDF Man merged with what was left of Refco after it imploded, and is the one of the biggest Futures Commission Merchants in the world and in the U.S., I would get my money and positions out of there. It is toast. Here is the story at ZeroHedge: Will Goldman Be MF Global's Executioner With Terminal Collateral Calls, As Yields Explode? | ZeroHedge
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Wow, reading some of her stuff. She makes Hillary Clinton and Sarah Palin sound like airheads. Now that she's "retired", she should join Alex Jones' team on infowars.com or write her own Ann Coulter-ish books.
But I don't quite buy Corzine ruined MFGlobal on purpose and it's all part of the Obama "marxist" agenda. Or that it set irrevocable corrupt "regulatory" precedents. I got my letter from RCG reassuring everyone that they are private and would never be involved in highly risky leveraged derivatives. I just expect Corzine to end up with some jail time, and a future episode to air about him and MFGlobal in the 6th season of "American Greed" and the futures market to continue on. The banks and housing loan culprits like Countrywide screwed up far worse and got a free $2 trillion in part1&2 bailouts from both Bush and Obama-Pelosi
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and if I understood that right, then MFGlobal is still trading with there own left money at this time.
I mean, that would give again a new dimension to the whole case. That would be so f**** as I not could imagine.
First you blow of your customers funds, then you f**** them up with new margin calls, then you may f**** them up with claw back laws and as dessert you go on with your daily business as usual and as the funds of the customers have gone you trade on happily with the money which is left in your own companies books.
Who are all these people? What kind of laws are these? Where is there any right and protection to customers funds?
Did I hear some thing wrong in the interview and if not, has anybody any proof of that statement from this woman?
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It sounds to me like she has issues with trading in general prior to this happening. If every financial market in the world collapsed and dog turds became a valuable commodity, I'd be sitting on my computer charting the shit out of them just the same. Looking for the best real time feed, best hours to trade, becoming an elite member on BMDTT.com, and all that jazz.
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