Investors Seek More Protections In Wake Of MF Global

Law360, New York (March 29, 2012, 7:05 PM EDT) -- Investors skittish in the wake of the unraveling of MF Global Holdings Ltd. after it misplaced $1.6 billion in customer funds are urging securities trading firms to have investors' collateral assets protected by third parties, according to a survey released Thursday by the Federal Reserve.

More than two-thirds of 20 institutions surveyed said that over the last six months, since MF Global filed for Chapter 11 protection in October, their investor clients have ramped up efforts to place their collateral in the custody of third parties...
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