On November 17, the Commodity Futures Trading Commission’s Division of Market Oversight (DMO) and Division of Clearing and Risk (DCR) each extended no-action relief for certain affiliated counterparties.
Specifically, in CFTC Letter 15-62, the DMO extended the temporary no-action relief previously provided in CFTC Letters 14-26 and 14-136 from the trade execution requirement to affiliated counterparties that satisfy CFTC regulation 50.52(a) but not CFTC regulations 50.52(b), (c) or (d) and are not exempt from clearing. This relief will now extend until December 16, 2016.
In CFTC Letter 15-63, the DCR extended no-action relief previously provided in CFTC Letter 14-135 to affiliated counterparties in jurisdictions with non-US mandatory clearing regimes that were otherwise eligible to rely on the alternative compliance framework in CFTC regulations 50.52(b)(4)(ii)-(iii). This relief will now extend until the earlier of (1) December 31, 2016 and (2) with respect to a particular jurisdiction, 60 days after the CFTC announces that it has made a comparability determination described in CFTC regulation 50.52(b)(4)(i) with respect to that jurisdiction.
CFTC Letter 15-62 is available here.
CFTC Letter 15-63 is available here.