CFTC Staff Letters

The CPO of commodity pool with no participants and less than $1,XXX in total assets requested relief from Commission Regulation 4.22(d), which requires certification of the pool’s annual report. The pool’s sole participant redeemed his entire interest of $3XX,XXX in June of 2008, and the pool retained funds solely for the purpose of keeping open two checking and savings accounts. The CPO submitted a signed waiver from the pool’s participant consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a).

The CPO of a commodity pool that liquidated at the close of the 2008 fiscal year requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had, at the time of liquidation, $2,XXX,XXX in total assets and nine participants. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a).

The CPO of a commodity pool requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had only one participant, who was proprietary, until September of 2008, when the pool added a second participant, who was not proprietary. The pool’s total capital contributions amounted to $2,XXX,XXX, 77.5% of which was from the non-proprietary participant. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a), but conditioned such relief upon the future filing of a certified annual report for the period of January 1, 2008 through December 31, 2009 in accordance with Regulations 4.22(c) and (d).

The CPO of a commodity pool that commenced operations in September of 2008 requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had only eight participants, total capital contributions of $3XX,XXX and, as of the close of its fiscal year, $6X,XXX in net asset value. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a), but conditioned such relief upon the future filing of a certified annual report for the period of September 1, 2008 through December 31, 2009 in accordance with Regulations 4.22(c) and (d).

The CPO of a commodity pool that commenced operations in July of 2008 requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had only three participants, net capital contributions of $1XX,XXX and, as of the close of its fiscal year, $8X,XXX in total assets. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a), but conditioned such relief upon the future filing of a certified annual report for the period of July 1, 2008 through December 31, 2009 in accordance with Regulations 4.22(c) and (d.

The CPO of a commodity pool that commenced operations in August of 2008 requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had only four participants (only one of whom was non-proprietary), net capital contributions of $3XX,XXX and, as of the close of its fiscal year, $3XX,XXX in total assets. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a).

The CPO requested relief from the requirement in Regulation 4.22(d) that the pool’s Annual Report be certified. The Pool began operations in December of 2007. From January 1, 2008 until December of 2008, the Pool had only 2 investors, one of whom is the CPO. In December of 2008, the Pool accepted another non-proprietary investor, bringing the total number of Pool participants as of December 31, 2008 to 3. The Pool’s total net asset value as of December 31, 2008, was approximately $1xx,xxx, roughly 42% of which was owned by the CPO. The CPO submitted waivers executed by the Pool’s 3 participants evidencing their consent to the exemption from the certified Annual Report requirement. Pursuant to the authority granted by Regulations 140.93 and 4.12(a), DCIO granted the relief subject to the condition that the CPO file and distribute a certified Annual Report for the period from January 1, 2008 through December 31, 2009.

The CPO of commodity pool requested relief to use IFRS in lieu of US GAAP. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a).

The CPO of a commodity pool that commenced trading in October of 2008 requested relief from Commission Regulation 4.22 (d), which requires certification of the pool’s annual report. The pool had, as of the close of its fiscal year, $1,XXX,XXX in total assets and nine participants. The CPO submitted signed waivers from each of the pool’s participants consenting to the exemption from the certified annual relief requirement. DCIO granted relief pursuant to Commission Regulations 140.93 and 4.12(a), but conditioned such relief upon the future filing of a certified annual report for the period of October 1, 2008 through December 31, 2009 in accordance with Regulations 4.22(c) and (d).

The CPO of a master fund and two feeder funds whose sole investment was in the master fund requested an interpretation or exemption with respect to the due date of the final annual report for one of the feeder funds that ceased operation as of June 30, 2008. Participants in the feeder fund that was ceasing operation exchanged their units for units in the second feeder fund. The CPO proposed that, rather than filing an annual report by September 30, 2008 for the feeder fund ceasing operation, it be permitted to file the report by March 31, 2009. The CPO claimed that the participants were not redeeming their investments, and represented further that there would be an additional cost in preparing a mid-year report because additional information from the master fund as of June 30, 2008 would be necessary. DCIO clarified that the fund did, in fact, cease operation as of June 30, 2008 and therefore its report was due within 90 days, but provided an extension of the report’s due date to March 31, 2009 on the basis that participants were transferred into a nearly identical investment and would continue to receive periodic reports on the value of their investment prior to the issuance of the fund’s final annual report.