Despite efforts to beef up fraud detection in the wake of the $215 million embezzlement at Peregrine Financial Group in Cedar Falls, legal experts say no silver bullet will ultimately protect investors. The National Futures Association, a Chicago-based self-regulating industry organization, has begun electronic surveillance of customer segregated funds held by brokerages such as Peregrine to buy futures contracts for clients. The NFA was transitioning to the new system as brokerages were due for an audit. Read more in The Gazette here.
