Commodity Exchange Reauthorization Act of 2005 - Amends the Commodity Exchange Act (CEA) to authorize the Commodity Futures Trading Commission (CFTC) to bring anti-fraud actions in off-exchange principal-to-principal futures transactions.
Increases specified civil and criminal penalties for violations of such Act.
Specifies, with exclusions, that CFTC jurisdiction extends to any agreement, contract, or transaction in foreign currency, and any person engaged in such transaction, that is offered to, or entered into: (1) with a person who is not an eligible contract participant; (2) on a leveraged, margined, or similarly financed basis; and (3) for purposes other than commercial or personal use, except that personal use shall include only those agreements, contracts, or transactions in which a person takes immediate ownership and possession of foreign currency.
Directs CFTC to maintain a liaison with the Department of Justice to coordinate civil and criminal investigations and prosecutions of CEA violations.
Establishes a portfolio margining pilot program for security futures products.
Requires CFTC and the Securities and Exchange Commission (SEC) to jointly promulgate a final rule to exclude from the definition of "narrow-based security index" indexes based on: (1) U.S. debt instruments; (2) other U.S. securities; (3) foreign equities; and (4) foreign debt instruments.
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