On November 30, the Commodity Futures Trading Commission’s Division of Swap Dealer and Intermediary Oversight granted no-action relief for futures commission merchants (FCM) and introducing brokers (IB) consolidating risk disclosure statements sent to non-institutional customers (customers that are not eligible contract participants).

CFTC regulations require an FCM or IB to provide each non-institutional customer with written risk disclosure statements before opening a customer’s account. The no-action letter clarifies that an FCM or IB may provide its non-institutional customers with the Futures Industry Association (FIA) Combined Risk Disclosure Statement in lieu of the separate disclosure statements the regulations require.

CFTC Staff Letter 16-82 is available here.