July 13, 2012

CFTC’s Division of Swap Dealer and Intermediary Oversight Issues Time-Limited No-Action Relief to Certain CPOs and CTAs to Meet Registration and Compliance Obligations

Entities have Until December, 31, 2012, to Comply with Changes to Part 4 of the Commission’s Regulations Involving Registration and Compliance Obligations for CPOs and CTAs

Washington, DC – The Commodity Futures Trading Commission’s (CFTC) Division of Swap Dealer and Intermediary Oversight (DSIO) today announced the issuance of time-limited no-action relief for commodity pool operators (CPOs) and commodity trading advisors (CTAs) who have been exempt or excluded from registration but, because of recent amendments to Commission Regulations 4.13 and 4.5, now need to register and satisfy compliance obligations.

On February 9, 2012, the CFTC issued a final rule regarding changes to Part 4 of the Commission’s regulations involving registration and compliance obligations for CPOs and CTAs. Among other things, this rule rescinded the exemption from registration provided in section 4.13(a)(4) and the exclusion from the definition of CPO for certain entities from section 4.5.

DSIO has been made aware of operational constraints of those affected by the recent rule change that may impact compliance. Accordingly, the Division has determined to recommend that the Commission not take enforcement actions against CPOs or CTAs for failure to register as such until December 31, 2012, subject to certain requirements, including the filing of a notice with the Division. Once a notice is filed, the no-action relief is effective immediately.

Last Updated: July 13, 2012