The Commodity Futures Trading Commission’s Division of Swap Dealer and Intermediary Oversight (DSIO) has delayed until January 14, 2014 the effectiveness its Advisory 13-69 issued on November 14 in which it took the position that a non-US swap dealer (SD) using personnel or agents located in the U.S. to arrange, negotiate, or execute a swap with a non-US person generally would be required to comply with transaction-level requirements for that swap. More information about Advisory 13-69 is available here.

This relief was provided in no-action letter 13-71 issued jointly on November 26 by DSIO, the Division of Clearing and Risk and the Division of Market Oversight. Pursuant to the no-action letter, non-US SDs using personnel or agents located in the United States to arrange, negotiate, or execute a swap with non-US persons that are not guaranteed affiliates or conduit affiliates of a US person are exempt, until January 14, 2014, from transaction-level requirements for such swap. However, if the counterparty for such swap is also a non-US SD, then the non-US SDs must still comply with the multilateral portfolio compression requirements and the swap trading relationship requirements under CFTC Regulations 23.503 and 23.504.

No-action letter 13-71 is available here.