The CFTC Division of Market Oversight ("DMO") extended previously issued no-action relief to non-U.S. swap dealers ("SDs") from certain swap data reporting requirements.

CFTC Letter 20-37 extends prior relief (covered here) to non-U.S. SDs that (i) are established in Australia, Canada, the European Union, Japan or Switzerland, and (ii) are not part of an affiliated group in which the ultimate parent entity is U.S.-based. For these entities, the relief addresses swaps which are entered into with non-U.S. counterparties that are not guaranteed affiliates or conduit affiliates.

The relief was originally granted by CFTC Letter 13-75 and most recently extended by CFTC Letter 17-64.

The relief was previously scheduled to expire on December 1, 2020. It was extended until the earlier of (i) December 1, 2022, or (ii) 30 days after the issuance of a comparability determination regarding the reporting rules for the relevant swap dealer's jurisdiction.


This relief was first provided seven years ago. The CFTC still does not have a considered proposal to address swap reporting requirements across borders or any comparability determinations for reporting.

This is a curious CFTC staff letter. It contains an explicit urging from the staff that other countries work to address their issues impeding the CFTC from making substituted compliance determinations on reporting. (It's not obvious how to square this with CFTC Chair Heath P. Tarbert's recent directive on staff letters.)

The timing of the letter is also notable. While it seems odd for the staff to take an action that extends two years out just before a new administration is expected to take over, the circumstances here seem understandable - without a proposal in place and the unlikelihood of substituted compliance determinations, it would seem inappropriate to put the industry in limbo by providing short-term relief. (Though hopefully the next extension, if it is to come, will come more than 10 days before the relief is to expire.)

Primary Sources

  1. CFTC Letter 20-37: Extension of Time-Limited No-Action Relief from Certain Requirements of Part 45 and Part 46 of the Commission's Regulations, for Certain Swap Dealers and Major Swap Participants Established under the Laws of Australia, Canada ...
  2. CFTC Press Release: CFTC Staff Extends Temporary Swap Data Reporting Relief for Certain International Swap Dealers and Major Swap Participants

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