Amendments to CPO and CTA Compliance Obligations
MFA Comment Letter
RIN 3038-AD30
April 12, 2011
MFA submitted comments to the CFTC on its proposal to rescind sections 4.13(a)(3) and (a)(4), exemptions from registration as a commodity pool operator (CPO), in which it expressed concerns that wholesale rescission of these exemptions would require many investment advisers to dually register as CPOs, and require unnecessary, duplicative and burdensome regulation. MFA recommend that the Commission preserve and amend the exemption in: (1) section 4.13(a)(4) for an investment adviser who is registered with the SEC; and (2) section 4.13(a)(3) for an SEC-registered investment adviser whose underlying fund does not "engage primarily" in trading commodity interests.
Cross References
CFTC Rules 4.13 and 4.14