29th Annual
FIA Law & Compliance
Division Workshop
May 9-11, 2007
Renaissance Harborplace Hotel
Baltimore, Maryland
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29th Annual
FIA Law & Compliance
Division Workshop
May 9-11, 2007
Renaissance Harborplace Hotel
Baltimore, Maryland
Hotel Information
The 29th Annual FIA Law & Compliance Division Workshop
will be held at the Renaissance Harborplace Hotel, a recipient of the
prestigious AAA Four Diamond Award. The Hotel is adjacent to the
Gallery of shops at Harborplace and across the street from the Inner
Harbor. BWI Airport is only 15 minutes from the Hotel, and there is easy
access to the interstates and Amtrak trains along the Northeast Corridor.
A block of rooms has been reserved for workshop attendees.
Single or double occupancy rates are $220/night plus applicable state
and local taxes (currently 12.5%). Rooms are available on a first-come,
first-served basis. You will need to reference the FIA Law & Compliance
Division Workshop in order to qualify for the discounted room rate. The
first night room deposit must accompany all reservations.
The reservation cut-off date is April 16, 2007. After the cut-off
date reservations will be accepted at the group rate on a space available
basis only. Check in time is 4:00 p.m. Check out time is 12:00 noon.
Cancellations may be made up until 4:00 p.m. on the day of arrival.
For hotel reservations, please contact the Renaissance Harborplace
Hotel directly at:
Renaissance Harborplace Hotel
202 East Pratt Street
Baltimore, MD 21202
Phone: (410) 547-1200 or (800) 468-3571
Program
WEDNESDAY, MAY 9, 2007
2:15 – 3:45 p.m.
Session 1—“Prudent or Not Prudent” –
General Compliance for Intermediaries
(PART 1)
Moderators: Gary DeWaal
Director, Global Legal
and Compliance
Senior Executive
Vice President
General Counsel
Fimat USA
and
Ronald Filler
Managing Director
Lehman Brothers
Panelists and attendees will have the
opportunity to answer questions derived from
topical hypotheticals incorporating basic
issues confronted by AML and Compliance
professionals and Attorneys in supporting
futures-industry participants. This panel is
intended for persons unfamiliar with futures,
as well as experienced veterans who may be
seeking a quick refresher on basics. Among
the topics to be covered are registration,
position reporting, capital requirements and
segregation, Part 30, basic anti-money laundering, privacy, contract markets, clearing
organizations, introducing brokers, hedge
funds and commodity pools, commodity trading advisors, foreign exchange trading, fraud
and customer protection, market offenses
(e.g., wash sales, cross trades), and manipulation. Rules and issues related to electronic
trading (particularly compared with open
outcry) will also be covered in this session.
3:45 - 4:00 p.m.
Coffee Break
CL
Cred E
Ava its
ilabl
e*
* FIA is a certified provider for the
State of Virginia. Among other states,
this course is eligible for credit under
New York’s approved jurisdiction
procedures as an accredited
transitional CLE course.
4:00 – 5:30 p.m.
Session 2—“Prudent or Not Prudent” –
General Compliance for Intermediaries
(PART 2)
Moderators: Gary DeWaal
Director, Global Legal
and Compliance
Senior Executive
Vice President
General Counsel
Fimat USA
and
Ronald Filler
Managing Director
Lehman Brothers
The complexity of the hypotheticals
increases in this “second round.” This panel
covers more “gray” areas, as well as issues arising from complex businesses handling futures,
securities and over the counter products in
one environment. Among the topics to be
covered are execution facilities, portfolio margining, SEC and NASD (NYSE) and CFTC
and NFA approach to common issues, foreign
person trading of U.S. products; U.S. person
access to foreign products; W-8s and W-9s,
employment issues, and pre-execution trade
matching.
6:00 p.m.
Reception / Baseball Outing
Following a welcome reception at the
hotel, please join us for an optional outing
to watch the Baltimore Orioles vs. Tampa
Bay at 7:05 p.m. A limited number of tickets are available at $30 each.
THURSDAY, MAY 10, 2007
7:30 – 8:30 a.m.
Continental Breakfast
Concurrent Sessions (choice of three panels)
8:30 – 10:00 a.m.
Session 3—Clearing Issues
Moderator: Ronald Filler
Managing Director
Lehman Brothers
This session will focus on issues relating
to the clearing of derivatives products, with
a special emphasis on the clearing of overthe-counter products. The panel will also
address risk management issues, global
bankruptcy issues and clearing of multiple
products at one clearing house.
Session 4—The Energy Markets
Moderator: Ronald Oppenheimer
First Vice President and
General Counsel,
Global Commodities
Merrill Lynch Commodities
This session will review recent developments in the U.S. energy markets. The panel
will address issues involving recent legislative
initiatives, enforcement actions by the CFTC
and the Federal Energy Regulatory Commission, and industry developments. Specifically
covered will be issues relating to FERC’s
Anti-manipulation Rule and issues involving
the legal certainty of power contracts.
Session 5—Professional Responsibility
Moderator: Michael Sackheim
Partner
Sidley Austin
This panel will discuss the professional
responsibility and ethical obligations of corporate counsel as well as lawyers for regulatory and self-regulatory organizations, when
confronted with possible wrongdoing by
derivatives issuers and organizations, applying the ABA’s Model Rules of Professional
Responsibility, the SEC’s Attorney Conduct
Rule for Issuer’s Counsel and the recent
Justice Department McNulty Memorandum
on corporate cooperation in government
investigations.
10:00 - 10:30 a.m.
Coffee Break
10:30 a.m. – 12:00 noon
Session 6—What’s New at the CFTC?
Moderators: Maureen Guilfoile
Director and Senior Counsel
Merrill Lynch
Pierce Fenner & Smith
and
Robert Klein
Managing Director and
Associate General Counsel
Citigroup Global Markets
This panel will include senior representatives of different divisions and offices of the
CFTC who will discuss recent regulatory initiatives, rule-makings and enforcement
actions during the past year, as well as possible agenda items for the next year.
12:00 noon – 1:45 p.m.
Luncheon
Program
Concurrent Sessions (choice of three panels)
2:00 – 3:30 p.m.
Session 7—Margining and Credit Risk
Management
Moderator: Kenneth Rosenzweig
Partner
Katten Muchin Rosenman
The Nuts and Bolts of Margins/the
Cross-Border Implications of Exchange
Margins/ Portfolio Margining/Core
Concept of Credit Risk Management. This
session will discuss recent regulatory and
exchange initiatives to permit brokers to
set risk-based margin requirements for offsetting positions, and the legal, regulatory
and operational issues posed by including
futures in such a program.
Session 8—International Developments
Moderator: Bruce Beatus
Senior Vice President
and General Counsel
Calyon Financial
This session will address the many legal
challenges of obtaining access to emerging
markets outside the United States such as
Brazil, Dubai, India, China, Taiwan and
Korea. Topics to be discussed include the use
of omnibus accounts in emerging markets,
position limits, registration of customers and
the challenges of harmonizing order routing
and customer agreements on a global basis.
The panel will also discuss regulatory issues
related to direct market access and cross-border compliance, training and supervision
issues, the implementation of MiFID in the
EU and an AML update.
Session 9—Market Manipulation
Moderator: William McCoy
Managing Director
Morgan Stanley
This session will discuss recent developments, including legislative, regulatory and
enforcement initiatives relating to allegations of market manipulation in listed derivatives and over-the counter products, particularly in the context of U.S. treasuries
and various commodities. The panel also
will discuss the Treasury Markets Best
Practices. Hypothetical examples will be
used to assist the practitioner in analyzing
the issues in connection with different types
of market behavior.
3:30 - 4:00 p.m.
Coffee Break
Concurrent Sessions (choice of three panels)
4:00 – 5:30 p.m.
Session 10—Exchange and SRO Developments
Moderator: Mark Young
Partner
Kirkland & Ellis
This session will examine exchange and
SRO developments with a particular focus on
mergers, governance and competition issues.
Session 11—CFTC and SEC Asset
Management Issues
Moderator: Susan Ervin
Partner
Dechert
This session will provide an overview of
U.S. and international regulatory initiatives
relevant to hedge fund managers, including
the SEC’s rulemaking with respect to the
accredited investor definition and the proposed new antifraud prohibition. Other current issues that will be addressed include
allegations concerning misuse of inside
information; implementation of the U.K.
Markets in Financial Instruments Directive
(MiFID); regulatory guidance concerning
hedge fund sideletters; soft dollar and
research analyst issues; ERISA developments; and hedge funds as exchange and
clearing members.
Session 12—New Products
Moderator: Eric Kunkes
Executive Director and
Assistant General Counsel
J.P. Morgan Futures
Almost daily we are seeing new products
launched and new twists on old ones. This
panel will cover a variety of these products
and twists. An overview will be provided of
each item covered. Emphasis will be placed on
applicable rules and regulations, as well as any
special compliance issues and considerations.
7:00 – 10:00 p.m.
Reception at La Tasca
Join us for an evening at La Tasca, a
Spanish tapas bar and restaurant, located at
the Pratt Street Pavilion, directly across the
street from the Renaissance Harborplace
Hotel. Enjoy a dinner of tapas and Paella
while sipping Sangria and Margaritas from
the open bar.
FRIDAY, MAY 11, 2007
Concurrent Sessions (choice of three panels)
8:30 – 10:00 a.m.
Session 13—What’s In My Customer
Agreement?
Moderator: Maureen Guilfoile
Director and Senior Counsel
Merrill Lynch
Pierce Fenner & Smith
We all know the standard language
needed in a customer agreement, but do we
remember why we have it there? Or what
happens in litigation without it? This discussion will be a refresher for some, centering around current case law and the legal
basis for what is generally found in customer
agreements (security language, cross trade
consents, set-off/bankruptcy, time frame to
meet margin calls, etc.).
Session 14—OTC Derivatives
Moderator: Edward Rosen
Partner
Cleary, Gottlieb,
Steen & Hamilton
This session will discuss legal issues and
recent developments involving OTC derivatives, including the status of OTC derivatives under the Commodity Exchange Act,
issues relating to OTC transactions that
look like listed products, policies for managing structured products, and new OTC
products and documentation initiatives.
Session 15—Managing Conflicts and
Information Barriers
Moderator: Bonnie Litt
Managing Director and
Associate General Counsel
Goldman Sachs
This session will discuss the focus by the
SEC and broker-dealers on identifying and
managing conflicts of interest and the establishment of information barriers. There also
will be a discussion regarding how FCMs
address conflicts of interest, such as how
they monitor employees who are allowed to
trade futures for their own accounts in markets in which they transact customer business.
10:00 - 10:30 a.m.
Coffee Break
Registration
Concurrent Sessions (choice of three panels)
10:30 a.m. – 12:00 noon
Session 16—The Regulation of Broker
Dealer and Prime Brokers
Moderators: Brandon Becker
Partner
Wilmer Cutler Pickering
Hale and Dorr
This session will discuss developments
in the past year relating to various securities regulatory issues faced by broker dealers
and prime brokers. The discussion will
include issues in connection with the
NASD Interpretative Memo on
Gifts/Business Entertainment/ Political
Contributions, execution and pricing, margining, and consolidated supervision.
Session 17—E-Brokerage Issues
Moderator: Barbara Bishop
Senior Managing Director
Bear Stearns
With regard to electronic brokerage,
this panel will cover exchange expectations
and regulations applicable to clearing members. There will be a comparison of
Securities and Futures electronic brokerage
regulations, including a discussion of New
York Stock Exchange Information Memo
02-48. The panel will also cover disclosure
requirements, customer/clearing agreements
and other documentation, audit issues,
employment issues, cross border issues,
including those relating to privacy and
“passing the book,” and the potential need
for special supervisory procedures relating
to “e-Brokerage” will be discussed.
Session 18—Litigation and Enforcement
Moderator: Charles Mills
Partner
Kirkpatrick & Lockhart
Preston Gates Ellis
This session will summarize significant
futures and derivatives industry case law
and enforcement actions since May 2006.
The panel will discuss whether futures and
derivatives industry participants should
consider changing how they operate in
light of these actions.
FINAL PROGRAM IS SUBJECT
TO CHANGE WITHOUT NOTICE.
Registration
All registrations for the FIA Law & Compliance Division Workshop must be completed online at
www.futuresindustry.org/lc
FIA Law & Compliance Division Members and Employees of
Registered Futures and Securities Associations*
Before April 10, 2007 . . . . . . . . . . . . .$695.00
After April 10, 2007 . . . . . . . . . . . . . .$795.00
Government Regulators and Full-Time Students
$225.00
Financial Aid
Please contact legal@futuresindustry.org for a copy of
the FIA's Financial Aid Policy for CLE course events.
Non-Members of the FIA Law & Compliance Division
Before April 10, 2007 . . . . . . . . . . . . . $895.00
After April 10, 2007 . . . . . . . . . . . . . .$995.00
* Note: Your 2007 membership must be current to obtain the member rate.
Membership Information
Your firm must be a regular or associate member of FIA to join the division. Annual division dues are $50. Become a member and/or
renew your membership in the FIA Law & Compliance Division online at www.futuresindustry.org/division-2148.asp
Optional Events
Golf Outing
Play in the Eighth Annual FIA Law & Compliance
Golf Tournament at The Timbers at Troy (Start time is
12:00 noon, Friday, May 11,2007). The fee is $90 per person and includes greens fees, golf cart and box lunch. Sign
up today as space is limited! No refunds.
Baseball Outing
Baltimore Orioles vs. Tampa Bay, Wednesday, May 9
at 7:05 p.m. Tickets are $30 each. A limited number of
tickets are available.
Futures Industry Association
2001 Pennsylvania Avenue N.W. • Suite 600 • Washington, DC 20006-1823
Phone: (202) 466-5460 • Fax: (202) 296-3184
Visit www.futuresindustry.org/lc for
more information and to register online.
Futures Industry Association
2001 Pennsylvania Ave. NW
Suite 600
Washington, DC 20006-1823