NFA Imposes Late Fee for Form PQR and PR Filings

National Futures Association (NFA) has implemented a late fee on commodity pool operators (CPOs) and commodity trading advisors of $200 for each business day after the due date that a quarterly NFA Form PQR or PR is filed. The late fee will apply to all late-filed NFA Forms PQR and PR dated September 30, 2016 or later. With respect to Form PQR, the late fee will be assessed on the CPO entity and not on each pool operated by the CPO.

More information is available in NFA Notice I-16-16, which is: 

Effective date of amendment to Compliance Rule 2-46: Late fee for NFA Forms PQR and PR filings

NFA recently amended NFA Compliance Rule 2-46 to impose a $200 late fee on commodity pool operator (CPO) and commodity trading advisor (CTA) Members for each business day the Member files its quarterly NFA Form PQR or PR after the due date.

The late fee is effective for all NFA Forms PQR and PR required under NFA Compliance Rule 2-46 beginning with reports dated September 30, 2016 and later. For Form PQR, the late fee will apply to the CPO entity and will not be assessed on each pool operated by the CPO that has a late filing. NFA is imposing this late fee to encourage the limited number of CPOs and CTAs that file late reports to make timely filings. A late fee for these reports is consistent with NFA’s practice of imposing a fee on late financial filings made by futures commission merchant, forex dealer member and introducing broker Members.

More information on this amendment can be found in NFA’s May 31, 2016 Submission Letter to the CFTC. For more information on filing NFA Forms PQR and PR, please see Notice I-15-25. If you have questions concerning this new requirement, please contact NFA’s Information Center by calling 800-621-3570 or 312-781-1410, or emailing information@nfa.futures.org.

Read more about the NFA’s initial rule proposal in the June 3 edition of Corporate & Financial Weekly Digest

The National Futures Association (NFA) has proposed an amendment to NFA Compliance Rule 2-46 that would add a late filing fee of $200 for each business day that NFA Form PQR or Form PR is filed after the applicable deadline. NFA Form PQR and Form PR are required to be filed with the NFA on a quarterly basis by registered Commodity Pool Operators (CPOs) or Commodity Trading Advisors, respectively. For late NFA Form PQRs, the fee will apply at the CPO level and will not be assessed separately for each pool operated by the CPO that has a late filing.

The NFA intends to make the proposed amendment effective ten days after May 31, 2016, unless the Commodity Futures Trading Commission notifies the NFA that it has determined to review the proposals for approval.

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