Wed, Jul 30, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

New derivatives and CPO rule changes to impact fund managers

Wednesday, August 22, 2012

Bailey McCann, Opalesque New York:

The Commodities Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) in the US have finalized new derivatives rules and issued new guidance on the types of exemptions available to commodity pool operators (CPOs). As Opalesque reported in July, both regulators issued definitions for the terms "swap" and "security-based swap." These rules have now been officially entered into the federal register and will trigger additional provisions outlined in the Dodd-Frank Act.

The definitions themselves are designed to establish the products that make up "mixed swaps," mixed swaps will be monitored and regulated by the commissions going forward. The new rules effective date will be October 12, 2012. The gap accounts for a window in which those effected by the new rules will be given time to comply.

According to a client alert from US-based law firm, Shulte, Roth & Zabel, the product definitions "implicate a range of commodity law requirements governed by statutes and regulations enforced by the CFTC because derivatives that are swaps are now included in the definition of "commodity interests" for purposes of the CEA."

Significantly, these definitions will also have implica......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing
  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Hedge fund manager Winton Capital making headway with long-only strategy[more]

    From PIonline.com: North American investors are helping Winton Capital Management Ltd. make progress — albeit slowly — toward its founder's goal of becoming a $100 billion company. The firm's ticket to quadrupling its assets under management is unlikely to be one of its scientifically designed manag

  2. Opalesque Roundtable: Success in hedge fund marketing not linked to performance, but investor appetite[more]

    Komfie Manalo, Opalesque Asia: Success in marketing a fund is not linked to the performance, but to investor appetite, to the way you can market the fund, and to how much time you can spend to raise assets, said Antoine Rolland, the CEO of incubator and seeding firm

  3. Opalesque Radio: Now is a good time to buy protection cheaply in the options market[more]

    Benedicte Gravrand, Opalesque Geneva: Investors are showing an increased interest in risk parity funds and strategies, Opalesque reported last year. Risk parity strategies have the

  4. The Big Picture: Charlemagne Capital smoothes risk out of frontier market investing with portfolio approach[more]

    Benedicte Gravrand, Opalesque Geneva: Opalesque recently talked to one of the portfolio managers of the Oaks funds, which are emerging and frontier market hedge funds focusing on equity long/short with a directional approach. They are run by

  5. Winton’s low-cost equities fund tops $1bn for first time[more]

    From FT.com: Winton, the London-based hedge fund, has increased the assets in its low-cost equities fund to more than $1bn for the first time in a sign that traditional stock managers may come under increasing pressure from computer-driven rivals. Winton, which manages about $25bn in total ass