FOR IMMEDIATE RELEASE                        2001-104
                              
              CFTC AND SEC PROPOSE JOINT RULES
             RELATING TO MARGIN REQUIREMENTS AND
  TREATMENT OF CUSTOMER FUNDS FOR SECURITY FUTURES PRODUCTS

     Washington, D.C. - September 27, 2001 - On September
25, the Securities and Exchange Commission (SEC) and the
Commodity Futures Trading Commission (CFTC) approved the
publication for comment of proposed rules relating to the
implementation of provisions of the Commodity Futures
Modernization Act of 2000 (CFMA).  The CFMA lifted the 19-
year ban on the trading of single-stock and narrow-based
stock index futures in this country.

     First, the SEC and CFTC approved the publication of
joint proposed rules governing the collection of customer
margin for security futures.  The proposed rules would apply
to margin arrangements between intermediaries and their
customers with respect to security futures.

     Second, the SEC approved the publication of proposed
amendments to the SEC's customer protection rule, Exchange
Act Rule 15c3-3, and the CFTC proposed a new rule, Rule
41.42, each of which is designed to eliminate duplicative
and conflicting regulations relating to the treatment of
customer funds, securities and property that are applicable
to firms fully registered with both the SEC and the CFTC.
Finally, the SEC and CFTC are each proposing rule changes
that would eliminate certain conflicting or duplicative
recordkeeping and reporting requirements involving security
futures products.

     The period for public comment on the proposed rules
will end 30 days from the date of their publication in the
Federal Register.  Copies of the proposed rules are
available on the websites of the CFTC and the SEC, at
www.cftc.gov and www.sec.gov, respectively.
     
     
     
                            # # #