Federal Register: Commodity Pool Operators and Commodity Trading Advisors: Amendments to Compliance Obligations

CFTC Dodd-Frank Rulemaking

In addition to new reporting and regulatory requirements for CPOs and CTAs, the CFTC is proposing is proposing to:

• Reinstate trading criteria for registered investments companies claiming exclusion from the CPO definition under Regulation 4.5;

• Rescind the exemption from CPO registration under Regulations 4.13(a)(3) and (4);

• Revise Regulation 4.7 so that CPOs may no longer claim exemption from the requirement that an exempt pool's annual report contain certified financial statements;

• Modify the participant qualification criteria of Regulation 4.7 to incorporate the SEC's accredited investor standard by reference rather than by direct inclusion of its terms;

• Require all persons claiming exemptive or exclusionary relief under Regulations 4.5, 4.13, and 4.14 to confirm their notice of claim of exemption or exclusion on an annual basis; and

• Amend the risk disclosure statement that must be included in CPO and CTA disclosure documents to describe certain risks specific to swaps transactions.

Document Number

RIN 3038 AD 30

Date

January 26, 2011

Cross References

Dodd-Frank Act, Title VII, Secs. 404 406; 17 CFR Parts 4 and 145