The Commodity Futures Trading Commission (CFTC) in February issued a final rule regarding changes to the Commission’s regulations concerning registration and compliance for commodity pool operators (CPO) and commodity trading advisors (CTA). Additionally, it released a proposed rule offering amendments to its recently changed rule 4.5. Changes to rule 4.5 will force certain investment companies registered as 40 Act funds to register as CPOs. The problem is some of its rules are in conflict with Securities and Exchange Commission (SEC) rules. The Commission has received many comments pointing out that their new rules create “duplicative, inconsistent, and possibly conflicting disclosure and reporting requirements” on such funds. The amendments attempt to facilitate compliance by offering some relief in its reporting processes according to the CFTC.
Harmonize this - CFTC Changes to Rule 4.5
The Commodity Futures Trading Commission (CFTC) in February issued a final rule regarding changes to the Commission’s regulations concerning registration and compliance for commodity pool operators (CPO) and commodity trading advisors (CTA). Additionally, it released a proposed rule offering amendments to its recently changed rule 4.5. Changes to rule 4.5 will force certain investment companies registered as 40 Act funds to register as CPOs. The problem is some of its rules are in conflict with Securities and Exchange Commission (SEC) rules. The Commission has received many comments pointing out that their new rules create “duplicative, inconsistent, and possibly conflicting disclosure and reporting requirements” on such funds. The amendments attempt to facilitate compliance by offering some relief in its reporting processes according to the CFTC.