WASHINGTON — The Commodity Futures Trading Commission announced today it has approved a comparability determination and a related comparability order granting conditional substituted compliance with the agency’s capital and financial reporting requirements. This action applies to certain CFTC-registered nonbank swap dealers organized and domiciled in France and regulated under the European Union’s Investment Firms Regulation and Investment Firms Directive.

Under the order, an eligible nonbank swap dealer in France may satisfy certain Commodity Exchange Act capital and financial reporting requirements by being subject to, and complying with, comparable requirements applicable under French law, subject to specified conditions. 

The comparability order will take effect upon its publication in the Federal Register. For several conditions imposing new obligations on the eligible nonbank swap dealers, the CFTC is granting an additional 180 calendar days for compliance.

To rely on the order, an eligible nonbank swap dealer must notify the CFTC of its intent to satisfy the capital and financial requirements by substituted compliance. The swap dealer must receive CFTC staff confirmation before applying substituted compliance. The notice of intent must include certain representations enumerated in the order’s conditions and must be submitted to: [email protected].