Commodity trading advisor exemption
Exemption from Registration as a CTA Section 4m (1) of the Commodity Exchange Act provides an exemption from registration for a person who, in the preceding twelve months, has not furnished commodity trading advice to more than 15 persons and who does not hold himself out generally to the public as a CTA. CFTC Headquarters Three Lafayette Centre 1155 21st Street, NW Washington, DC 20581 202.418.5000 However, most commodity trading advisors are able to rely on an exemption from registration set forth in Section 203 (b) (6) of the Advisers Act. This exemption is available to registered commodity trading advisors whose business does not consist primarily of acting as an investment adviser. Firms that claim exemptions from Commodity Pool Operator (“CPO”) registration under CFTC Rule 4.5 or CTFC Regulation 4.13(a)(3) (the “de minimis exemption”), or Rules 4.13(a)(1), 4.13(a)(2), 4.13(a)(5), and firms that claimed an exemption from Commodity Trading Adviser (“CTA”) registration pursuant to CFTC Rule 4.14(a)(8) must re-affirm those exemptions annually within 60 days of the calendar year end – by February 29, 2020. The Division acknowledged the lack of guidance in the Commodity Exchange Act regarding the extent of commodity trading advice that excludes FCMs, SDs, and IBs from registering as a Commodity Trading Advisor. the Division offered a preamble discussing certain activities that would be beyond the scope of “solely incidental” providing limitations, CEA section 1a(12) defines a “commodity trading advisor,” as any person who, for compensation or profit, engages in the business of advising others, either directly or through publications, writings, or electronic media, as to the value of or the advisability of trading in commodity interests. C. Am/Are a non-profit, voluntary membership, trade association or farm organization and the person’s commodity trading advice is solely incidental to the conduct of its business as such association or organization. D. Am/Are a foreign-based entity, located outside the U.S. and I/we only solicit non-U.S. citizens.
repealed exemption must now consider whether to register with the CFTC as a Commodity Pool Operator (“CPO”) or a Commodities Trading Adviser (“CTA”).
CEA section 1a(12) defines a “commodity trading advisor,” as any person who, for compensation or profit, engages in the business of advising others, either directly or through publications, writings, or electronic media, as to the value of or the advisability of trading in commodity interests. C. Am/Are a non-profit, voluntary membership, trade association or farm organization and the person’s commodity trading advice is solely incidental to the conduct of its business as such association or organization. D. Am/Are a foreign-based entity, located outside the U.S. and I/we only solicit non-U.S. citizens. In order for a CTA to qualify for the exemption under new Rule 4.14(a)(11) the CTA’s commodity interest trading advice must be solely directed to, and for the sole use of, “family clients,” as defined in the SEC Family Office Rule. The Commodity Futures Trading Commission (CFTC or Commission) is proposing amendments to its regulations to permit commodity pool operators (CPOs) that only solicit and/or accept funds from non-U.S. persons for participation in offshore commodity pools to claim an exemption from CPO registration and compliance requirements with respect to such On February 2012, the CFTC rescinded Rule 4.13(a)(4) exemption, which provided exemption to private funds offered only to institutional qualified eligible purchasers (“QEP”) and natural persons that meet QEP requirements that hold more than the de minimis amount of commodity interests. Commodity Trading Advisor (“CTA”) CFTC Headquarters Three Lafayette Centre 1155 21st Street, NW Washington, DC 20581 202.418.5000
21 Jul 2011 Advisers Act; (b) modify the exemption in Section 203(b)(6) of the Advisers Act to cover certain commodity trading advisors advising a private
These exemptions apply either because an individual or entity is a private commodity trading advisor or the person or entity falls under U.S. Commodity Futures
13 Nov 2018 On October 18, 2018, the Commodity Futures Trading Commission (CFTC) commodity pool operators (CPOs) and commodity trading advisors (CTAs). The proposed registration exemption is based on CFTC Staff
21 Jul 2011 Advisers Act; (b) modify the exemption in Section 203(b)(6) of the Advisers Act to cover certain commodity trading advisors advising a private
CFTC Headquarters Three Lafayette Centre 1155 21st Street, NW Washington, DC 20581 202.418.5000
A Commodity Trading Advisor or a CTA can be an individual or a firm. are possible so long as the regulatory body, the CFTC, approves that exemption. The commodity pool interests are exempt from registration under the Securities Act that all commodity trading be solely incidental to securities trading activity. 27 Dec 2019 to only commodity pool operators (CPOs), commodity trading advisors Futures Trading Commission (CFTC) Regulation 4.7 exemption. 26 Aug 2008 “It shall be unlawful for any commodity trading advisor or commodity pool operator, unless registered under this chapter, to make use of the repealed exemption must now consider whether to register with the CFTC as a Commodity Pool Operator (“CPO”) or a Commodities Trading Adviser (“CTA”). persons and for certain very small pools, these exemptions do not provide relief from commodity pool operator registration or commodity trading adviser 17 Dec 2019 25, 2019, the Commodity Futures Trading Commission approved amendments[1] that impact several registration and reporting exemptions, which will affect many as commodity pool operators or commodity trading advisors.
A commodity trading advisor (CTA) may request relief from certain Commodity Futures Trading Commission (CFTC) regulations. Below are regulations that may