Commodity Pool Operators ("CPO") and Commodity Trading Advisers ("CTA")

In addition to those listed for U.S. Hedge Funds / Investment Funds, Malik Law Group's services for commodity pools, CPOs and CTAs include:

  • Drafting the fund's disclosure document, filing it through the National Future Association's ("NFA's") electronic disclosure document system, and working with the NFA through the conclusion of the review, comment, and acceptance process
  • Updating the disclosure document at least every 9 months
  • Filing annual financial statements, quarterly reports, and other notices for the pool through the NFA's EasyFile system
  • Submitting applicable pool exemptions and exclusions through the NFA's exemption system
  • Determining a CPO's or CTA's registration requirements with the Commodity Futures Trading Commission ("CFTC") and membership requirements with the National Futures Association ("NFA")
  • Identifying potential registration exemptions applicable to certain CPOs or CTAs
  • Registering a CPO or CTA with the CFTC
  • Filing an exemption from CPO or CTA registration through the NFA's exemption system
  • Drafting and reviewing sub-advisory contracts, investment management agreements, and consulting and solicitation agreements
  • Developing and implementing compliance programs, codes of ethics, and regulatory controls and procedures
  • Reviewing advertising and marketing materials for compliance with disclosure and advertising regulatory compliance
  • Spearheading a CPO's or CTA's preparation for, and response to, surprise audits or examinations by the CFTC

In summary, Malik Law Group guides the CPOs and CTAs through the registration process and ensures compliance with the CFTC's rules thereafter.

Examples of Transactions:

  • Organization of numerous U.S. and Non-U.S. ("offshore") commodity pools across multiple jurisdictions;
  • Registration of CPOs and CTAs with the CFTC and submitting disclosure documents;
  • Providing advice as to available registration exemptions for CPOs and CTAs and electronically filing applicable exemption notices;
  • Representation of commodity traders using Non-U.S. firms for clearing and execution; and
  • Representation of a Kazakhstani investment manager with respect to the organization of a British Virgin Islands ("BVI") commodity pool trading in Forex.