December 31, 2012 CFTC Deadline

December 19, 2012

As a reminder, the Commodity Futures Trading Commission (the “CFTC”) has rescinded the exemption from commodity pool operator (“CPO”) registration in CFTC Regulation 4.13(a)(4). Any manager currently relying on the 4.13(a)(4) exemption will need to either register as a CPO or rely on another exemption by December 31, 2012. For most managers of private funds, the most likely alternative exemption is found in CFTC Regulation 4.13(a)(3) and is only available for de minimis trading activity in commodity interests. Please see our memoranda from April 20, 2012, May 2, 2012, July 12, 2012 and November 19, 2012 for more information on this topic.

If you have any questions concerning the foregoing, please contact your primary attorney in Seward & Kissel’s Investment Management Group.