Jan 31, 2023 | News

NFA Compliance: Annual Affirmation Reminder

Commodity Pools:  Reminder to Reaffirm Exemptions

The CFTC requires any person that claims an exemption from Commodity Pool registration under CFTC Reg 4.13(a)(1), 4.13(a)(2), 4.13(a)(3), 4.13(a)(5), an exclusion from Commodity Pool registration under Reg 4.5 or a Commodity Trading Advisor registration exemption under 4.14(a)(8) must annually affirm the notice of exemption within 60 days of the calendar year end.  This is March 1, 2023 for this affirmation cycle.

Persons re-affirming above exemptions will be required to attest the person or principals has background of any statutory disqualifications under Section 8a(2) of the Commodity Exchange Act.

Regardless of the entity qualifying for the exemption, the exemption will be withdrawn on March 2, 2023 if the person fails to re-affirm.  Consequently, the entity will be subject to Part 4 Requirements regardless of eligibility.  This may result in enforcement action by the CFTC if the entity or person continues to operate without proper registration.

To complete the affirmation process, the person must log on to the Electronic Filing System page and access the Exemptions System on the NFA website.

Any exemptions requiring affirmation will be identified with the icon “Affirm” column.

If the exemption no longer applies or the person fails to re-affirm by March 1, 2023, the entity and person must then apply for NFA membership to continue operating.  For registration information, click here