|
U.S. Code as of:
01/03/05
Section 6n. Registration of commodity trading advisors and commodity pool operators; application; expiration and renewal; record keeping and reports; disclosure; statements of account
(1) Any commodity trading advisor or commodity pool operator, or
any person who contemplates becoming a commodity trading advisor or
commodity pool operator, may register under this chapter by filing
an application with the Commission. Such application shall contain
such information, in such form and detail, as the Commission may,
by rules and regulations, prescribe as necessary or appropriate in
the public interest, including the following:
(A) the name and form of organization, including capital
structure, under which the applicant engages or intends to engage
in business; the name of the State under the laws of which he is
organized; the location of his principal business office and
branch offices, if any; the names and addresses of all partners,
officers, directors, and persons performing similar functions or,
if the applicant be an individual, of such individual; and the
number of employees;
(B) the education, the business affiliations for the past ten
years, and the present business affiliations of the applicant and
of his partners, officers, directors, and persons performing
similar functions and of any controlling person thereof;
(C) the nature of the business of the applicant, including the
manner of giving advice and rendering of analyses or reports;
(D) the nature and scope of the authority of the applicant with
respect to clients' funds and accounts;
(E) the basis upon which the applicant is or will be
compensated; and
(F) such other information as the Commission may require to
determine whether the applicant is qualified for registration.
(2) Each registration under this section shall expire on the 30th
day of June of each year, or at such other time, not less than one
year from the effective date thereof, as the Commission may by
rule, regulation, or order prescribe, and shall be renewed upon
application therefor subject to the same requirements as in the
case of an original application.
(3)(A) Every commodity trading advisor and commodity pool
operator registered under this chapter shall maintain books and
records and file such reports in such form and manner as may be
prescribed by the Commission. All such books and records shall be
kept for a period of at least three years, or longer if the
Commission so directs, and shall be open to inspection by any
representative of the Commission or the Department of Justice. Upon
the request of the Commission, a registered commodity trading
advisor or commodity pool operator shall furnish the name and
address of each client, subscriber, or participant, and submit
samples or copies of all reports, letters, circulars, memorandums,
publications, writings, or other literature or advice distributed
to clients, subscribers, or participants, or prospective clients,
subscribers, or participants.
(B) Unless otherwise authorized by the Commission by rule or
regulation, all commodity trading advisors and commodity pool
operators shall make a full and complete disclosure to their
subscribers, clients, or participants of all futures market
positions taken or held by the individual principals of their
organization.
(4) Every commodity pool operator shall regularly furnish
statements of account to each participant in his operations. Such
statements shall be in such form and manner as may be prescribed by
the Commission and shall include complete information as to the
current status of all trading accounts in which such participant
has an interest.
|
|