The CFTC recently announced that it will hold a meeting on November 3rd at 10:30 a.m. Eastern to discuss the following issues relating to end-users:
1) Clarification as to when an agreement, contract or transaction with embedded volumetric optionality falls within the forward contract exclusion from the definition of a swap;
2) Conforming the application of the CFTC’s recordkeeping requirements under CFTC Rule 1.35(a) to commodity interests and related cash or forward transactions with no-action relief previously provided by the Division of Swap Dealer and Intermediary Oversight (presumably in CFTC Letter 14-72)
3) The relationship between when end-users will be required to post collateral and changes to timing issues related to what is known as the “residual interest deadline” that applies to futures commission merchants (FCMs).
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