---
type: "AIHallucinationFinding"
title: "You are advising the chief economist of a wealth management firm preparing testimony for a House…"
citation_id: "RLB-H-US-CFTC-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-Q016-Sonnet46"
finding_uid: "US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-v1-016--sonnet-46-websearch"
question_uid: "US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-v1-016"
regulation_id: "US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024"
regulation_slug: "CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024"
regulation_title: "Amendments to CFTC Regulation 4.7 - Qualified Eligible Person Portfolio Requirements for CPOs and CTAs"
regulator_short_code: "CFTC"
regulatory_body_id: "CFTC-US-001"
jurisdiction_code: "US"
j_level: "J3"
ai_subject: "claude-sonnet-4-6"
ai_subject_display: "Claude Sonnet 4.6 (web search on)"
ai_subject_version: "sonnet-46-websearch"
response_failure_mode: "outdated"
substrate_document_name: "R4-FINAL_RULE-00004"
substrate_document_path: "https://reglegbrief.com/substrate/US/CFTC/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024/_b1_results/R4-FINAL_RULE-00004/source.pdf"
substrate_section_anchor: "Final rule pre-print, Section II.A (Portfolio Requirement), CPI-U July 2024 buying-power footnote"
citation_issue_types: ["Pretextual"]
audiences: ["ai_labs", "practitioners", "sector_dept"]
published_at: "2026-06-11T07:31:11.660052+00:00"
substrate_version: 1
methodology_version: "2.3"
license: "CC-BY-4.0"
resource: "https://reglegbrief.com/regulators/j3/us/cftc/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024/ai-labs/finding/US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-v1-016--sonnet-46-websearch/"
tags: ["ai-hallucination", "outdated", "cftc", "cpo-cta-regulation-4-7-qep-thresholds-2024", "us"]
timestamp: "2026-06-16T00:00:00+00:00"
---

# AI Hallucination Finding: You are advising the chief economist of a wealth management firm preparing testimony for a House…

- **Citation ID.** `RLB-H-US-CFTC-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-Q016-Sonnet46`
- **Finding UID.** `US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-v1-016--sonnet-46-websearch`
- **Regulation.** [`CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024`](/okf/regulations/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024.md) — Amendments to CFTC Regulation 4.7 - Qualified Eligible Person Portfolio Requirements for CPOs and CTAs
- **Regulator.** [`CFTC-US-001`](/okf/bodies/CFTC-US-001.md) — Commodity Futures Trading Commission
- **AI subject.** Claude Sonnet 4.6 (web search on)
- **Failure mode.** [`outdated`](/okf/taxonomy/failure-modes.md)
- **Published.** 2026-06-11T07:31:11.660052+00:00

## Question put to the AI subject

You are advising the chief economist of a wealth management firm preparing testimony for a House Agriculture Committee hearing on regulatory threshold inflation adjustment. Draft a 1-page CCO briefing memo for the General Counsel of a CTA firm. Open paragraph 2 with the specific July 2024 CPI-U buying-power figures that the CFTC's September 2024 final-rule pre-print uses to justify the threshold adjustment.

## AI subject's verbatim answer

As of July 2024, the $2,000,000 Securities Portfolio Requirement established in 1992 had the inflation-adjusted equivalent purchasing power of approximately $4,270,000; and the $200,000 Initial Margin and Premiums Requirement established in 1992 had the inflation-adjusted equivalent purchasing power of approximately $427,000. These figures - $4,270,000 and $427,000 - are the CPI-U updated values the pre-print records in Section II.A.

## Verbatim regulator text contradicting the answer

> based on analysis using CPI-U data, as of July 2024, the $2,000,000 threshold in the Securities Portfolio Test has the same buying power as approximately $4,464,726, and the $200,000 threshold in the Initial Margin and Premiums Test has the same buying power as approximately $446,472.

_Source:_ [R4-FINAL_RULE-00004](https://reglegbrief.com/substrate/US/CFTC/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024/_b1_results/R4-FINAL_RULE-00004/source.pdf)
_Section anchor:_ Final rule pre-print, Section II.A (Portfolio Requirement), CPI-U July 2024 buying-power footnote

## Failure mode

**`outdated`** — Outdated — the AI cited or relied on a rule that has been superseded, amended, or rescinded by the regulator.

## Citation-issue types

- **Pretextual** — <substrate/US/CFTC/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024/_b1_results/R4-FINAL_RULE-00004/source.pdf>

## Related concepts

- Regulation: [CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024](/okf/regulations/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024.md)
- Regulator: [CFTC-US-001](/okf/bodies/CFTC-US-001.md)
- Failure-mode taxonomy: [outdated](/okf/taxonomy/failure-modes.md)
- Methodology: [v2.3](/okf/methodology.md)
- Editorial standards: [right of reply](/okf/editorial-standards.md)

## Reproduction

Citation ID: `RLB-H-US-CFTC-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-Q016-Sonnet46`

Resource URL (HTML view of this finding):

<https://reglegbrief.com/regulators/j3/us/cftc/CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024/ai-labs/finding/US-CFTC-US-001-CPO-CTA-REGULATION-4-7-QEP-THRESHOLDS-2024-v1-016--sonnet-46-websearch/>

This finding is reproducible against the substrate document linked above, using the same AI subject, the same methodology version, and the verbatim question text.