Goal One
Goal One—Protect the public and market participants by ensuring market integrity, promoting transparency, competition and fairness and lowering risk in the system.
| Exceeded | Met | Not Met |
|---|---|---|
| 0% | 9% | 91% |
Derivatives markets are designed to provide a means for market users to offset price risks inherent in their businesses and to act as a public price discovery platform from which prices are broadly disseminated for public use. For derivatives markets to fulfill their role in the national and global economy, they must operate efficiently and fairly, and serve the needs of market users. The markets best fulfill this role when they are open, competitive and free from fraud, manipulation and other abuses such that the prices discovered on the markets reflect the forces of supply and demand.
The Commission strives to assure that Goal One is effectively met through the combined use of four oversight strategies: 1) review of new contracts and rules, and changes to existing contracts and rules; 2) continual surveillance of trading activity in the futures and swaps markets; 3) review of regulated exchanges, DCMs and SEFs, to ensure that they are fulfilling their self-regulatory obligations; and, 4) adoption of policies and strategies to promote market transparency.
Accomplishments related to progress in achieving this goal include:
- Completed reviews of 57 new product certifications, nine exempt market filings, 317 rule filings and one FBOT no-action request.
- Drafted two significant IOSCO reports: the Report on OTC Derivatives Data Reporting and Aggregation Requirements, and the Report on Trading of OTC Derivatives.
- Created three new automated alerts, three new reports, and enhanced four trade practice alerts, providing for a more effective market and trade surveillance program.
Goal One performance measure results are depicted in the following table:
| # of Measures1 | Exceeded | Met | Not Met | |
|---|---|---|---|---|
| Goal One | 11 | 0 | 1 | 10 |
| % of Total | 0% | 9% | 91% | |
 9%  |
||||
| 1 Excludes 2 performance measures categorized as "Not Applicable" for FY 2011. (back to text) | ||||
See Goal One Performance Measures, Analysis and Review for detailed performance analysis and review narrative for each associated measure.