MBF CLEARING CORP.
MBF Clearing Corp. (hereinafter “MBFCC”) has always worked hard to maintain the highest standards of confidentiality and to respect the privacy of our customers. In that regard, we are providing this Privacy Notice to all of our individual customers. This notice is issue pursuant to CFTC Regulation 160. If you are using your account for business purposes, you may not technically be required to receive this Notice. Nevertheless, we felt you may be interested in receiving it. The following information in this Notice summarizes the categories of information that we collect, how that information is handled, and how we protect your information.
COLLECTION OF INFORMATION
MBFCC collects non-public personal information about its customers through the following sources:
1. Information from the customer (e.g. providing account information and identifying information);
2. Information about the customer from the customer’s transactions with us or our affiliates;
3. Information about your creditworthiness, credit history, and other information about you from consumer reporting agencies;
4. Information you provide to us to verify your identity, such as a passport or received from other entities not affiliated with the Company.
This non-public personal information may include your name, address, social security number, financial and investment qualifications, income, employment information, income and credit references.
We do not disclose any nonpublic personal information about our customers or our former customers to anyone except as permitted by law.
We may also disclose all the information we collect, as described above, to companies that perform services on our behalf, our affiliated entities and/or to other financial institutions with whom we have execution agreements.
Furthermore, to help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify and record information that identifies each person who opens and maintains an account. When you open an account, will ask you for your name, address, date of birth and other identifying information and we may also ask to see identifying documents such as your driver’s license and passport.
DISCLOSURES TO SERVICE PROVIDERS
MBFCC uses carefully selected firms to perform services such as preparing, printing and delivering statements and other documents relating to your account, on-line trading execution systems, protection against fraud or maintaining or developing software for us which enables us to perform the tasks required as an introducing broker. We provide only the information they need to offer our services to you.
MBFCC may also be legally required to exchange certain information about its customers with specific credit reporting agencies, in response to a court order, to prevent fraud or to comply with a requirement of a government agency.
We do not sell information about MBFCC customers or former customers to unaffiliated third parties.
DISCLOSURES PERMITTED BY LAW
We may disclose all the personal information we collect as permitted or required by law. For example, we may disclose information to law enforcement agencies or regulatory authorities (such as the CFTC, SEC, NFA, FINRA or the DSRO), to respond to a subpoena or court order or judicial process, to consumer reporting agencies, to comply with a requirement of a government agency (such as pursuant to the US Patriot Act) or in connection with a proposed or actual sale, merger, or transfer of all or a portion of a business or an operating unit;
We may also disclose information upon consent of an investor to release such information, including authorization to disclose such information to persons acting in a fiduciary or representative capacity on behalf of the investor.
NO DISCLOSURES FOR OTHER PURPOSES
We will not share any personal information we collect with outside companies, except as explained above. That is, we will not sell personal information to outside companies that may wish to market their products and services to you. While we may offer products or services to you on behalf of such outside companies, we will not give your personal information to them
We use encryption and authentication tools to protect your personal information. E-mails you send us are not necessarily secure when they are transmitted to us. If your communication is very sensitive, you may want to call us or send it by regular mail.
UPDATING CUSTOMER INFORMATION
When your account was established you provided information pertaining to your background and your financial status. It is important that we maintain the most current information. If there have been any material changes to your information last provided to us please contact us immediately at 212-845-5000 and ask for Goutam Majumdar.
RECORDING TELEPHONE CONVERSATIONS
As a reminder, MBFCC, in complying with its obligations as an Introducing Broker registered with the National Futures Association and under the jurisdiction of the Commodity Exchange Act and the rules and regulations of the Commodity Futures Trading Commission (“CFTC”) may electronically records conversations made to and from its offices.
By maintaining your account with our company, you are consenting to allowing MBFCC to record conversations between MBFCC with or without the use of an automatic tone warning device.
All recordings shall be kept confidential will not be disclosed to any third-party except as permitted or required by law. In addition, by maintaining your account with our company you consent to the use of the recordings as evidence by either party in any action between us. We may, but shall not be required, in the normal course of business, erase such recordings at specified intervals.
Reminder on Exchange for Related Position transactions
If you are utilizing any of the Exchange for Related Position (EFRP) execution methods including Exchange for Physical (EFP) also known as Against Actuals (AA), Exchange for Risk (EFR) also known as Exchange for Swap (EFS), and Exchange of Options for Options (EOO), please make sure you aware of the unique requirements of these execution types including the documentation standards for the related physical commodity transaction or bi-lateral swap transaction. Each exchange has rules specific to this transaction type. Below are links to documents published by CME Group (covering all of their exchanges) and ICE Futures US on EFRP transactions for your reference.
CME Group Market Regulation Advisory Notice (most recent version RA1911-5 effective January 2, 2020) - https://www.cmegroup.com/rulebook/files/cme-group-Rule-538.pdf
ICE Futures US Frequently Asked Question document (last updated January 1, 2020) - https://www.theice.com/publicdocs/futures_us/EFRP_FAQ.pdf
If you have any question about this document or about the security and confidentiality of the tape recordings, please call our office at 1-212-845-5000 and someone will be pleased to assist you.