Release Number 7284-15

November 24, 2015

CFTC Divisions Provide Conditional No-Action Relief to Wells Fargo Bank, N.A.

Washington, DC — The U.S. Commodity Futures Trading Commission’s Divisions of Swap Dealer and Intermediary Oversight; Clearing and Risk; and Market Oversight announced today that they have provided conditional no-action relief to Wells Fargo Bank, N.A. (Wells Fargo), a provisionally registered swap dealer.

The no-action letter provides that the Divisions will not recommend enforcement action against Wells Fargo or certain of its non-U.S. counterparties that are neither guaranteed affiliates nor conduit affiliates if they choose to comply with the counterparties’ local requirements rather than with certain CFTC transaction-level requirements. The relief only applies to swaps executed by Wells Fargo’s London branch with counterparties located outside of a foreign jurisdiction for which the Commission has issued a substituted compliance determination with respect to the applicable transaction-level requirements.

The relief is based on the specific facts and circumstances regarding Wells Fargo’s limited non-U.S. swap dealing activity. Among other conditions, the relief is subject to a requirement that the aggregate notional value of the swaps entered into by Wells Fargo with counterparties located outside the substituted compliance jurisdictions does not exceed five percent of the aggregate notional value of all of Wells Fargo’s swaps.

 

 

Last Updated: November 24, 2015