FIA PTG makes the case for Congressional oversight over CAT funding

8 December 2023

FIA Principal Traders Group (FIA PTG) has published an essay calling for Congressional oversight over Consolidated Audit Trail (CAT) funding.

FIA PTG cites dramatically spiraling costs – both historical and ongoing, persistent budget overruns, and a model that lacks incentives to manage costs, as the rationale for this appeal.

Making CAT an SEC system would enable Congress to increase transparency and insight as well as fiscal discipline. If CAT were an SEC system, the costs of CAT would be included in the SEC congressional budget request which is subject to Congressional approval.

A recently approved CAT funding model will permit 100% of CAT costs to be passed on to market participants – essentially an additional tax on all purchase and sales of equities and listed options securities. FIA PTG believes the time for Congress to intervene is now.

Read the essay here.

  • PTG
  • Equity Market Structure