(2) The commodity pool operator must file with the Commission one copy of the subsequent amendments to the Disclosure Document and, where used, profile document for each pool that it operates or that it intends to operate within 21 calendar days of the date upon which the pool operator first knows or has reason to know of the defect requiring the amendment.
SUMMARY: The Commodity Futures Trading Commission (“CFTC or “Commission) is adopting amendments to its rules to permit commodity pool operators (“CPOs) to provide a summary profile document to prospective commodity pool participants prior to giving them the pools complete disclosure document. Certain technical changes to rules relating to CPOs and commodity trading advisors (“CTAs) are also being adopted.
Sec. 4.21 Required delivery of pool Disclosure Document.
(3) The pool operator may not use the Disclosure Document or profile document until such correction has been made. * * * * *
(ii) Where the prospective participant is an accredited investor,from NFA,Futures Trading Specialist,a notice of intended offering and statement of the terms of the intended offering. * * * * *(2) No commodity pool operator may use a Disclosure Document or profile document dated more than nine months prior to the date of its use.(2) The pool operator may furnish the correction by any of the following means:(2) The commodity trading advisor must file with the Commission one copy of the subsequent amendments to the Disclosure Document for each trading program that it offers or that it intends to offer within 21 calendar days of the date upon which the trading advisor first knows or has reason to know of the defect requiring the amendment.The authority citation for Part 4 continues to read as follows: Authority:7 U.S.C. 1a,electronic mail: “,6c,andThis rule (Sections 4.31 and 4.33) contains information collection requirements. As required by the Paperwork Reduction Act of 1995,no comments were received.(a)(1) No commodity pool operator registered or required to be registered under the Act may,(b) and (d) to read as follows:The 30-day comment period expired on August 28,which supported the proposed rule changes. Accordingly.
(i) An amended Disclosure Document or profile document;
Section 4.36 is amended by revising paragraph (d) to read as follows:
Issued in Washington, DC, on September 25, 2000 by the Commission. Jean A. Webb, Secretary of the Commission.
(a) All material filedwith the Commission under this part 4 must be filedwith the Commission at its Washington, DC office (Att: Managed Funds Branch, Division of Trading and Markets, CFTC, Three Lafayette Centre, 1155 21st Street, NW., Washington, DC 20581); Provided, however, that Disclosure Documents, profile documents, and amendments thereto may be filedat the following electronic mail address: ddoc- . * * * * *
\5\ See 60 FR 38146, 38181 (July 25, 1995) and 48 FR 35248 (August 3, 1983).
PART 4–COMMODITY POOL OPERATORS AND COMMODITY TRADING ADVISORS
Sec. 4.36 Use, amendment and filing of Disclosure Document.
Brokers, Commodity futures, Commodity pool operators, Commodity trading advisors.
[Federal Register: October 2, 2000 (Volume 65, Number 191)]
(d)(1) The commodity trading advisor must file with the Commission one copy of the Disclosure Document for trading program that it offers or that it intends to offer not less than 21 calendar days prior to the date the trading advisor first intends to deliver the Document to a prospective client in the trading program; and
The Regulatory Flexibility Act (“RFA),5 U.S.C. 601-611 (1994), requires that agencies, in proposing rules, consider the impact of those rules on small businesses. The Commission has previously established certain definitions of “small entities to be used by the Commission in evaluating the impact of its rules on such entities in accordance with the RFA.\2\ The Commission previously has determined that registered CPOs are not small entities for the purpose of the RFA.\3\ With respect to CTAs, the Commission has stated that it would evaluate within the context of a particular rule proposal which all or some affected CTAs would be considered to be small entities and, if so, the economic impact on them of any rule.\4\ In this regard, the Commission notes that the sole effect on CTAs of the rule revisions adopted herein is to reduce the filing requirement for disclosure documents. The Commission has previously determined that the disclosure requirements governing this category of registrant will not have a significant economic impact on a substantial number of small entities.\5\ Therefore, the Chairman, on behalf of the Commission, hereby certifies, pursuant to5 U.S.C. 605(b), that these regulations will not have a significant economic impact on a substantial number of small entities.
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
SUPPLEMENTARY INFORMATION: On July 27, 2000, the Commission proposed to amend its rules to allow CPOs to use a profile document to solicit prospective commodity pool participants prior to providing them with the pools Disclosure Document.\1\ The Commission also proposed amendments to Commission Rule 4.26 to establish procedures for the use, amendment and filing of profile documents that are parallel to those applicable to disclosure documents. The proposed rule changes are intended to accommodate National Futures Associations (“NFA) proposed Compliance Rule 2-35(d). In addition, certain technical amendments related to filings by CPOs and commodity trading advisors (“CTAs) were proposed.
Sec. 4.26 Use, amendment and filing of Disclosure Document.
(ii) With respect to a hard copy of the Disclosure Document, a sticker affixed to the Disclosure Document; or
(2) Notwithstanding the requirements regarding solicitation specified in paragraph (a)(1) of this section, a commodity pool operator may provide to a prospective participant either of the following documents prior to delivery of a Disclosure Document, subject to compliance with rules promulgated by a registered futures association pursuant to section 17(j) of the Act:
the commodity pool operator delivers or causes to be delivered to the prospective participant a Disclosure Document for the pool containing the information set forth in Sec. 4.24.Section 4.26 is amended by revising paragraphs (a),6b,solicit,4,4.26 and 4.36,4.21,directly or indirectly,the Commission has determined to adopt the changes to Rules 4.2,on or before the date it engages in that activity,where used,accept or receive funds,the Commission amends17 CFR Part 4as follows:Section 4.2 is amended by revising paragraph (a) to read as follows:NW.,Division of Trading and Markets,as defined in17 CFR 230.501(a),1155 21st Street,6l?
(b)(1) If the commodity pool operator knows or should know that the Disclosure Document or profile document is materially inaccurate or incomplete in any respect, it must correct that defect and must distribute the correction to:
2,Commodity Futures Trading Commission,essentially as proposed.Section 4.21 is amended by revising paragraph (a) to read as follows:(1) The commodity pool operator must file with the Commission one copy of the Disclosure Document and,DC 20581.(ii) Each previously solicited prospective pool participant prior to accepting or receiving funds,6m,securities or other property from any such prospective participant.(i) All existing pool participants within 21 calendar days of the date upon which the pool operator first knows or has reason to know of the defect;6o,andFor the reasons stated in the preamble,\6\ the Commission has submitted a copy of this rule to the Office of Management and Budget (OMB) for its review.\7\ In response to the Commissions invitation in the proposed rulemaking to comment on any potential paperwork burden associated with this regulation,Washington,2000. The Commission received one comment letter,6n,profile document for each pool that it operates or that it intends to operate not less than 21 calendar days prior to the date the pool operator first intends to deliver such Document or documents to a prospective participant in the pool;securities or other property from a prospective participant in a pool that it operates or intends to operate unless,(202) 418-5467,12a and 23.FOR FURTHER INFORMATION CONTACT: Eileen R. Chotiner,
(a)(1) Subject to paragraph (c) of this section, all information contained in the Disclosure Document and, where used, profile document, must be current as of the date of the Document; Provided, however, that performance information may be current as of a date not more than three months prior to the date of the Document.