oil and gas fund as commodity pool

In CFTC Letter 17-48, the Division of Swap Dealer and Intermediary Oversight (the “Division”) of the Commodity Futures Trading Commission (the “CFTC”) indicated that it would not recommend enforcement action against the manager of a oil and gas fund and its subsidiaries for failure to register as a commodity pool operator (“CPO”) or a commodity trading advisor (“CTA”).  As background, the manager intended to use over-the-counter swap transactions (“Swaps”) to hedge commodity price risks relating to oil and natural gas investments made by the fund and its subsidiaries (collectively, the “Fund”).  The following are the key facts presented in CFTC Letter 17-48:
Continue Reading CFTC Grants CPO/CTA No-Action Relief to Oil and Gas Fund and Its Operating Subsidiaries