CPOs are required to maintain accounting systems and prepare periodic financial statements for each pool they operate. CPOs must distribute periodic account statements and a certified Annual Report to participants. CPOs must file quarterly reports with NFA and the CFTC which are based upon the assets under management (AUM) during the reporting period.
Each CPO Member must distribute account statements to pool participants at least monthly within 30 days of month end for pools with net asset value of more than $500,000. For pools with net asset value less than $500,000 or exempt pools under CFTC Regulation 4.7, the CPO must distribute account statements to participants at least on a quarterly basis within 30 days of the quarter end.
Each CPO that operates pools for which it has reporting obligations under Part 4 of the CFTC's regulations must report on a quarterly basis with NFA or the CFTC specific information about the firm and the pools that it operates. These quarterly reports are due within 60 days after the end of quarters ending March 31, June 30, and September 30. Reports for quarter ending December 31 are due within 90 days of the calendar year end for Small (AUM <$150 million) or Mid-size CPOs (AUM >$150 million <$1.5 billion) and within 60 days for Large CPOs (AUM> $1.5 billion). All PQR reports must be filed electronically using NFA's EasyFile system regardless of whether the PQR is being filed for NFA or CFTC. The content of the PQR filing will depend upon the CPO's highest AUM during the reporting period. CPOs that file a Form PF with the SEC will continue to be required to file a PQR with NFA for quarters ending March 31, June 30, September 30 and with the CFTC for quarter ending December 31. Additionally, each PQR report filed after its due date will be subject to a late filing fee.
CPO Members must distribute an Annual Report, certified by an independent public accountant, to each participant in each pool it operates within 90 days after the pool's fiscal year-end. CPOs are also required to file this report electronically with NFA through the EasyFile system. Alternate due dates exist for pools that are operated as a "fund of funds." CPOs can monitor their filings and review their due dates for each pool in the EasyFile system.
When preparing pool Annual Reports, refer to the CFTC's annual letter for useful tips.
CFTC Regulations require CPOs to follow strict deadlines, and failing to meet those deadlines may result in disciplinary action. To avoid a potential disciplinary action, CPOs must comply with the due dates referenced in EasyFile or request an extension pursuant to CFTC Regulation 4.22(f)(1). You must file any extension requests with NFA prior to the Report's original due date. However, if you are requesting an extension beyond 180 days after the pool's fiscal year-end, you must file the request with the CFTC.
If you are operating a pool which qualifies as a "fund of funds" and need additional time to file the audited Annual Report, you must file the notice required by CFTC Regulation 4.22(f)(2) by the Report's original due date. CPOs that have previously filed this "fund of funds" notice for a pool need only attach a copy of the previous filing with the current year's Annual Report and file pursuant to the extended due date. This extended due date will be reflected in EasyFile.
CPO Members are also required to file with NFA and to distribute to participants a final Annual Report whenever a pool ceases trading. This liquidation statement is due within 90 days after the permanent cessation of trading. If the final distribution of pool assets has not been made as of the balance sheet date, a subsequent event note to the financial statements should disclose the date on which all pool assets were subsequently, or are expected to be, distributed to the participants.
CPOs should update their Questionnaire for any pools that have liquidated.
NFA has received a number of requests from CPO Members for information on how to request confidential treatment of their commodity pool annual reports that are filed with NFA. Requests for confidential treatment are governed by Commodity Futures Trading Commission ("Commission") Regulation 145.9, which contains detailed requirements for submitting a request for confidential treatment of information filed with the Commission, including commodity pool annual reports.
NFA Members can file many of their required documents electronically.