June 27, 2013
CFTC’s Division of Swap Dealer and Intermediary Oversight Issues Time-Limited No-Action Relief from Certain Swap Trading Relationship Documentation Standards with Foreign Exchange Counterparties
Washington, DC – The Commodity Futures Trading Commission’s Division of Swap Dealer and Intermediary Oversight (“DSIO”) today announced the issuance of a no-action letter relating to requirements imposed on Swap Dealers (“SDs”) and Major Swap Participants (“MSPs”) pursuant to Commission regulation § 23.504 in connection with (i) foreign exchange transactions that are swaps , and (ii) physically-settled foreign exchange forwards and swap agreements that have been exempted from the definition of swap by the Secretary of the U.S. Department of the Treasury.
The letter provides relief for SDs and MSPs from the requirements of swap trading relationship documentation in accordance with Regulation 23.504 until (1) September 1, 2013 with respect to a counterparty that is an active fund; or (2) December 31, 2013 with respect to any other counterparty except a registered SD or MSP, subject to certain conditions detailed in the letter.
Last Updated: July 10, 2013