Position Limits for Exchange-Traded Funds?

" Annual inside commodities conference underway at the New York Stock Exchange a gathering of experts analysts and investors. And former regulators talking about the future commodities and Walton Logan is with us former acting the commodities. Freddie commissions and and senior vice president and now the global market structure. At near NYSE Euronext since joining us in an exclusive interview Walter thank you so much for being here. It lets talk about I know that bid was part of the focus of the conference's exchange traded funds. It seems like there could be a looming. Regulatory crackdown -- commodity exchange traded products. What do you expect. To see on that."

" I think chairman counselor is looking at the exchange traded funds to make sure that index trading in commodities. Index trading is not influencing prices on the money king. This is something -- it also was looking at when I was chairman. The problem is putting position limits on these these fund mail deprive them -- over the counter markets and overseas. Certainly we want to keep them on transparent markets as best we can. So there's going to be a -- balance intention their return against what they consider. -- pics expand on that what types of restrictions. Could be saved. Well they're looking at aggregate position limits for different types of traders in the -- base. This is try to balance to make sure there's a helping commercial participants. In those markets as well as investment money. That's so as that position limits going to place. Potentially as people may start hitting those caps and as they hit the captain look for alternative means in order to manage those funds. Which may be over the seen her in the more opaque. Over the counter markets."

" Do you think that that innovations that we have seen particularly in exchange traded funds. Gives investors an easy way to may be being reckless."

" Well certainly all products can be used recklessly -- people aren't careful and that's why we regulate them these markets so. Yeah we have controls in place as regulators on the CBC has. Large trader positions covered -- so they can look at -- with the size. Positions may be among traders. There are lots of ways to make sure that these markets are now being abused. But we also want to give people an opportunity to invest in asset classes such as commodities. And that's the balance of regulators always try to achieve."

" it seems like attacks on trading. Has been shelved and for the meantime do you think that it comes back as the government becomes desperate. To try and reduce the deficit."

" Well I think they're looking for revenue sources as they look for. You know ways to pay for healthcare cap and trade and other. And finds that may have been going -- Wall Street during this crisis that they're going to be looking at a variety of different ways to raise revenues. Transaction fees may be one of those issues they look at. By the concerned there is it may be pushed to investors ultimately and not really. Taxed at the broker level which is. I think what would be policy makers choice. -- we want to make sure that investors are being overly taxed. In this area."

" Walter thank you for joining us today want to Lucas senior vice president of global market structure. At NYSE. Euronext and former acting CFTC chairman -- to be."