CFTC Staff Letters

Conditional No-Action Relief with respect to Swaps Trading on Certain Multilateral Trading Facilities Overseen by Authorities Designated by European Union Member States

Extension of previously issued no-action.

The CPO of a commodity pool requested relief from the Annual Report filing and certification requirements in Regulations 4.22(c) and (d). In support of its request, the CPO represented that the commodity pool is currently proprietary, consisting solely of the managing member’s initial capital contribution, though the CPO is actively soliciting contributions from potential participants. DSIO granted exemptive relief pursuant to Regulations 4.12(a) and 140.93 from the certification requirement in Regulation 4.22(d), conditioned upon the CPO’s filing of an unaudited Annual Report otherwise in compliance with Regulation 4.22(c).

The CPO of a commodity pool requested relief from the Annual Report filing and certification requirements in Regulations 4.7(b)(3) and 4.22(d). The CPO requested permission to file an uncertified annual report for fiscal year 2013. The CPO represented that the pool has two participants who are principals of the CPO. DSIO granted exemptive relief pursuant to Regulations 4.12(a) and 140.93 permitting the filing and distribution of an uncertified annual report for fiscal year 2013.

The CPO of a commodity pool requested relief from the Annual Report filing and certification requirements in Regulations 4.7(b)(3) and 4.22(d). The CPO requested permission to file an uncertified annual report for fiscal year 2013. The CPO represented that the pool has two participants who are principals of the CPO. DSIO granted exemptive relief pursuant to Regulations 4.12(a) and 140.93 permitting the filing and distribution of an uncertified annual report for fiscal year 2013.

The Division of Clearing and Risk issued a letter stating that it will not recommend that the Commission take enforcement action against Singapore Exchange Derivatives Clearing Limited (SGX-DC) clearing members for failing to comply with the Commodity Exchange Act Section 4d(f)(1) registration requirements in carrying existing positions and accepting for clearing offsetting positions in certain commodity swaps for U.S. customers or customers of FCMs that clear through an FCM omnibus customer account; or SGX-DC for engaging in activities related to its clearing members carrying and accepting for clearing such customer positions.

Interpretation with respect to certain auditor independence requirements under Commission Regulation 1.16.

Extension of joint no-action relief granted by DCR and DMO on September 27, 2013, allowing LCH.Clearnet Ltd to clear contracts listed for trading on Nodal Exchange LLC.

Extension of no-action relief granted by DCR on September 23, 2013, allowing LCH.Clearnet Ltd to clear swaps executed on designated contract markets and swap execution facilities.

The CPO of a commodity pool requested relief from the Annual Report and certification requirements in Regulations 4.7(b)(3) and 4.22(d), in order to permit it to file an Annual Report for the pool for the period from the date the pool began trading, July 12, 2013 to December 31, 2014. In support of its request, the CPO submitted waivers from the pool’s sole non-proprietary participant evidencing their consent to the relief requested. DSIO granted relief pursuant to Regulations 4.12(a) and 140.93 conditioned upon (1) the distribution of unaudited financial statements and tax information for the 2013 fiscal year to the non-proprietary participant, as the CPO proposed in its request, and (2) the future filing and distribution to the participant of a certified Annual Report for the period from July 8, 2013 (the date the pool received non-proprietary funds) to December 31, 2014, in compliance with Regulations 4.7(b)(3) and 4.22(d).