CFTC Issues Interpretive Letter Clarifying Eligibility for End-User Exception to the Clearing Requirement

On May 4, CFTC Division of Clearing and Risk published a letter clarifying that a securitization SPV that is wholly-owned by, and consolidated with, a captive finance company under Section 2(h)(7)(C)(iii) of the Commodity Exchange Act (CEA) is also eligible for the end-user exception to a clearing requirement under Section 2(h)(1)(A) of the CEA.  Press ReleaseStaff Letter.