On February 6, 2017, in response to requests from industry trade associations, the Commodity Futures Trading Commission’s (“Commission” or “CFTC”) Division of Market Oversight (“DMO”) issued six-month relief from the requirement to file a notice in order to rely on various exemptions from aggregation for purposes of federal position limits under the CFTC’s Part 150 rules, as amended. The relief will extend from February 14, 2017 (the effective date of the CFTC’s final aggregation rules) to August 14, 2017. 1 During this time period, DMO will not recommend that the Commission commence an enforcement action against any person or entity that is eligible to rely on an exemption from aggregation under Rule 150.4(b) that fails to comply with the notice filing requirements in Rule 150.4(c). An eligible person or entity must otherwise comply with the requirements of a particular exemption to rely on it (i.e., other than the notice filing requirement).
A person or entity seeking to rely on such an exemption may submit a notice filing in advance of expiration of the no-action relief if it so chooses. Note that the relief does not impact exchange notice filing requirements with respect to exchange aggregation exemptions (e.g., CME Rule 559.E and ICE Futures US Rule 6.12).
For additional information and a detailed overview of the CFTC’s aggregation rules, including their potential impact on asset managers, please review our previous memorandum on this topic, available here.