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Designated Self-Regulatory Organization (DSRO)

Trading Term

A self-regulatory organization that enforces minimum financial and reporting requirements for their members, among other responsibilities outlined in the CFTC’s regulations. When a futures commission merchant (FCM) is a member of more than one SRO, the SROs may decide among themselves which of them will assume primary responsibility for these regulatory duties and, upon approval of the plan by the commission, be appoint the ‘designated self-regulatory organization’ for that FCM.

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