The CFTC Division of Swap Dealer and Intermediary Oversight granted a non-U.S. financial institution temporary no-action relief from the requirement to be registered as an introducing broker ("IB"). The relief was granted in connection with the transfer of certain IB activities from the United Kingdom (where the institution currently conducts IB activities under a CFTC Part 30.10 Order) to another country (where the institution is not yet eligible to take advantage of the relief). The IB would then be permitted under CFTC Rule 3.10(c)(4) to engage in limited U.S. futures and options transactions without having to register separately as an IB.
As stated in the CFTC Letter, the temporary relief from registration is part of "realign[ment] of [] operations consistent with forthcoming [Brexit-related] regulatory changes in the United Kingdom."
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