What Is a Commodity Trading Advisor (CTA)?
A commodity trading advisor (CTA) is an individual or firm that provides individualized advice regarding the buying and selling of futures contracts, options on futures, or certain foreign exchange contracts. Commodity trading advisors require a commodity trading advisor (CTA) registration as mandated by the National Futures Association, the self-regulatory organization for the industry.
A commodity trading advisor (CTA) is a registered person or entity providing advice regarding commodities trading.
Advisors must pass specific proficient requirements to be registered as a CTA.
The CTA registration requires CTAs to advise on all forms of commodity investments.
In general, the National Futures Association requires CTA registration for individuals or firms who provide advice on commodities trading.