A CFTC final rule aimed at preventing certain bad actors from seeking exemptions from registration as CPOs under Rule 4.13 ("Exemption from Registration as a Commodity Pool Operator") was published in the Federal Register. The final rule will go into effect on September 8, 2020.
As previously covered, the final rule will require any person seeking such an exemption to represent that neither they nor their principals are subject to any of the statutory disqualifications under CEA Section 8a(2) ("Registration of Commodity Dealers and Associated Persons; Regulation of Registered Entities").
A person currently relying on an exemption from CPO registration under Rule 4.13 will be required to comply with the final rule when filing a notice of exemption from CPO registration for the upcoming March 1, 2021 deadline. A person claiming an exemption from CPO registration under Rule 4.13 for the first time will be required to comply with the final rule when filing an initial notice of exemption.
Originally published July 09, 2020.
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