December 8, 2025

NFA Reminder: Annual Affirmation Required for Key Exemptions Under CFTC Rules 4.13 and 4.14

Alston & Bird + Follow Contact LinkedIn Facebook X Send Embed Managers relying on exemptions under Commodity Futures Trading Commission (CFTC) Rules 4.13, 4.14, and 4.5 must complete their required annual affirmation within 60 days of year-end. Our Investment Funds Team highlights key considerations for the 2025 cycle, including steps for completing affirmation in the National Futures Association (NFA) Exemptions Filing System.

• Calendar the March 2, 2026 deadline and review all exemptions on file
• Confirm eligibility for each exemption or exclusion
• Affirm in the NFA’s system, noting that firm-level exemptions must be affirmed individually The National Futures Association (NFA) has reminded entities relying on certain commodity pool operator (CPO) and commodity trading advisor (CTA) exemptions that they must complete an annual affirmation within 60 days of year-end. For the 2025 calendar year, the affirmation deadline is March 2, 2026.

The annual affirmation requirement applies to entities relying on certain CPO exemptions or exclusions under Commodity Futures Trading Commission (CFTC) Rule 4.13 and a CTA exemption under CFTC Rule 4.14. Affirmation must be completed through the NFA’s Exemptions Filing System. Failure to affirm will result in automatic withdrawal of the exemption on March 3, 2026, with potentially significant compliance consequences for both registrants and nonregistrants.

Managers should review and inventory all pool-level and firm-level exemptions on file with the NFA, confirm their continued eligibility, and ensure that each exemption is properly affirmed in the NFA Exemptions Filing System.

Who Must Affirm

Entities with any of the following exemptions must complete the annual affirmation within the 60-day window ending March 2, 2026:

• CPO exemption under Regulations 4.13(a)(1), 4.13(a)(2), 4.13(a)(3), or 4.13(a)(5).
• CPO exclusion under Regulation 4.5.
• CTA exemption under Regulation 4.14(a)(8). For exemptions under Regulations 4.13(a)(1), 4.13(a)(2), 4.13(a)(3), or 4.13(a)(5), managers will be required to attest that neither the firm nor any of its principals has any statutory disqualification listed under CEA Section 8a(2). These disqualifications are broadly similar to items that would be surveyed on a “bad actor” questionnaire. Because exempt fund complexes will typically claim exemptions at multiple structure levels, such as a general partner for a limited partnership or an investment manager for a corporate entity, affirmation may need to be completed under multiple CPO accounts in the NFA’s system.

Consequences of Failing to Affirm

If an active exemption is not affirmed by March 2, 2026, the NFA will withdraw the exemption on March 3, 2026. For registered CPOs or CTAs, this withdrawal subjects the entity to compliance with full CFTC Part 4 requirements, even if the entity remains otherwise eligible for the exemption.

For nonregistrants, operating without registration or exemption could subject a manager to CFTC enforcement action. In addition, failure to make a timely reaffirmation could also create operational friction when dealing with NFA-member investors or service providers required to verify the exemption or registration status of their counterparties under NFA Bylaw 1101.

How to Affirm

• Access the NFA’s Exemptions System via the Electronic Filing Systems page.
• In the Exemptions Index, exemptions requiring affirmation will display an icon in the “Affirm” column; select the icon and confirm in the pop-up window. The current date will replace the icon to indicate completion.
• To affirm multiple pool exemptions simultaneously, use the “AFFIRM ALL” button below the Exemptions table.
• Firm-level exemptions must be affirmed separately.
• If an exemption will not be affirmed for the coming year, managers should consult counsel before the deadline to avoid automatic withdrawal or potential enforcement action. The NFA’s website provides answers to frequently asked questions on the affirmation process, including details on account recovery.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
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