Philda₿ag

Equity perpetuals are here: Americans can now trade perpetual futures on individual stocks listed on U.S. exchanges for the first time. The @CFTC deemed the contracts approved as security futures, which the CFTC and @SECGov regulate jointly. U.S. investors get the protections of both agencies, the oversight Congress intended when it created a dedicated regime for security futures products. In our August comment letter, we made the case that security futures treatment is the best path for these markets to flourish. Both CFTC- and SEC-regulated exchanges can list security futures, so venues primarily overseen by either agency can compete to offer this new class of product. That competition will improve outcomes for investors. Equity perpetuals expand the tools that market participants can use to manage risk and take positions on securities in a single contract that never expires. We commend the staff of both agencies for this milestone in our derivatives markets.