Commodity Pool Operator - CPO

AAA

DEFINITION of 'Commodity Pool Operator - CPO'

Persons or limited partnerships responsible for investing a commodity pool's assets in commodity-futures and options positions. Commodity pool operators solicit funds for trading in securities such as futures contracts, or off exchange foreign exchange contracts.

INVESTOPEDIA EXPLAINS 'Commodity Pool Operator - CPO'

CPOs typically hire Commodity Trading Advisors (CTA) to make investment decisions for the pool. They require registration in most circumstances and must be a member of the National Futures Association.

RELATED TERMS
  1. Mutual Fund

    An investment vehicle that is made up of a pool of funds collected ...
  2. Commodity Trading Advisor - CTA

    An individual or firm who provides individualized advice regarding ...
  3. Commodity ETF

    Exchange-traded funds that invest in physical commodities such ...
  4. Commodity

    1. A basic good used in commerce that is interchangeable with ...
  5. Commodity Pool

    A private investment structure that combines investor contributions ...
  6. Fund Manager

    The person(s) resposible for implementing a fund's investing ...
Related Articles
  1. Getting Started In Foreign Exchange ...
    Forex Education

    Getting Started In Foreign Exchange ...

  2. Forex: Wading Into The Currency Market
    Forex Education

    Forex: Wading Into The Currency Market

  3. The Series 3 Exam: Creating A Career ...
    Entrepreneurship

    The Series 3 Exam: Creating A Career ...

  4. Money Management Matters In Futures ...
    Options & Futures

    Money Management Matters In Futures ...

comments powered by Disqus
Hot Definitions
  1. Last In, First Out - LIFO

    An asset-management and valuation method that assumes that assets produced or acquired last are the ones that are used, sold ...
  2. Ghosting

    An illegal practice whereby two or more market makers collectively attempt to influence and change the price of a stock. ...
  3. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  4. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  5. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  6. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
Trading Center