Exempt Non-U.S. Firm
A non-U.S. entity that transacts business directly with U.S. customers solely in futures contracts and options traded on foreign exchanges is exempt from registration if:
- It is a futures commission merchant (FCM) subject to a comparable regulatory structure by a foreign regulator which has been granted an exemption by the CFTC or an introducing broker (IB), commodity pool operator (CPO) or commodity trading advisor (CTA) without a U.S. office; and
- It has filed a request for exemptive relief and an agreement with NFA appointing an authorized US agent for service of process for communications in connection with activities that would otherwise require registration.
To request CFTC Regulation 30.5 exemptive relief, IBs, CPOs and CTAs must:
- Firm must designate a Security Manager in order to obtain secure access to NFA's Online Registration System (ORS)
- File an Exempt Foreign Firm 7-R in ORS
- Pay a $100 non-refundable application fee
To request CFTC Regulation 30.10 exemptive relief, FCMs must submit the following documents to NFA's Registration Department:
- Non U.S. regulator representation
- Member representation
- Agreement appointing a U.S. Agent for Service of Process
- If Member has U.S. affiliates, additional representation
There is no fee to request 30.10 exemptive relief.