CFTC Extends No-Action Position on Swap Trade Execution for Certain Package Transactions

The Commodity Futures Trading Commission (CFTC) Division of Market Oversight (DMO) has extended its no-action positions regarding certain swaps executed as part of package transactions. The relief applies to the terms previously set forth in CFTC Letter No. 22-15. Specifically, the extension covers transactions where at least one individual swap component is subject to the trade execution requirement under Section 2(h)(8) of the Commodity Exchange Act, while all other components consist of futures contracts (known as MAT/Futures Package Transactions). According to the regulator, the extension allows the DMO to continue assessing and determining an appropriate regulatory approach for the swap components of these package transactions.