CFTC Issues Exemptive Relief Related to JOBS Act Amendments to Regulation D

September 30, 2014

The Division of Swap Dealer and Intermediary Oversight (Division) of the U.S. Commodity Futures Trading Commission (CFTC) on September 9, 2014 issued a letter1 granting exemptive relief from provisions in CFTC Regulations 4.7(b) and 4.13(a)(3) that prohibit general solicitation.2 The relief allows commodity pool operators (CPOs) conducting “private offerings using general solicitation” pursuant to new rules adopted by the Securities and Exchange Commission (SEC),3 to rely on exemptions offered under CFTC Regulations 4.7 or 4.13.4 The exemptive relief offered by the CFTC is not self-executing and must be claimed in order to be effective. This Dechert OnPoint focuses on the practical implications related to the CFTC relief for private offerings using general solicitation.

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