A trade body sued the CFTC in New York on Tuesday, hours after Chairman Michael Selig announced that perpetual futures on individual US stocks could start trading. The Capital Markets Alliance (CMA) is seeking to have the approvals thrown out, the contracts declared security-based swaps, and trading halted while the case is heard. Cboe confirmed its CMA membership alongside Citadel Securities and the Healthy Markets Association, whose own members include CalPERS and other institutional investors. The plaintiff, CMA, is a newly formed body whose web domain was registered in mid October, suggesting the litigation was planned well before the CFTC’s approval came through.

The…