[6][9] Also in 1983, the CFTC authorized the National Futures Association (NFA) to carry out processing of registration for entities including CPOs.
[10] Under the Commodity Exchange Act, CPOs must register with and conform to the regulations of the CFTC, unless they meet the Commission's criteria for exemption.
[11][1] Additionally, registered CPOs are required to become members of the NFA, which regulates organizations or individuals who conduct futures trading business with public customers.
[1] Under the CFTC's Rule 4.7, a CPO may be exempt from certain disclosure and reporting requirements if investment in the fund it operates is only open to "qualified eligible persons", including registered commodities and securities professionals and accredited investors.
[1] If not all of a CPO's investors are "qualified eligible persons", it may still be exempt from the full disclosure requirements of the CFTC if it engages primarily in securities transactions.
[1] On January 26, 2011, following the 2010 enactment of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the CFTC made additions and amendments to the regulation of CPOs.