NFA’s Swaps Proficiency Requirements to come into effect on January 31, 2020

Maria Nikolova

Registered associated persons engaging in swaps activities and individuals acting as APs at swap dealers will have one year to complete the requirements.

The United States National Futures Association (NFA) has earlier today issued a notice about the Swaps Proficiency Requirements. These will launch and become accessible online on January 31, 2020.

Each individual who is approved as a swap associated person (AP) at a futures commission merchant (FCM), introducing broker (IB), commodity pool operator (CPO) or commodity trading advisor (CTA) Member firm or is acting as an AP at a swap dealer (SD) on January 31, 2021 must satisfy NFA’s Swaps Proficiency Requirements in order to remain approved as a swap AP or continue acting as an AP at an SD after this date. This deadline gives registered APs engaging in swaps activities and individuals acting as APs at SDs one year to complete the requirements.

After January 31, 2021, any individual who wants to engage in swaps activity will have to satisfy NFA’s Swaps Proficiency Requirements prior to being approved as a swap AP at an FCM, IB, CPO or CTA Member or acting as an AP at an SD.

There are two proficiency tracks—a Long Track, which is designed for APs at SDs, and a Short Track, which is primarily designed for APs at FCMs, IBs, CPOs and CTAs. Some individuals acting as APs at SDs may perform more limited functions – these individuals are providef with a guidance on when an AP at an SD would adequately satisfy NFA’s Swaps Proficiency Requirements by completing the Short Track.

Each Track is module based and contains both a learning component and a testing component.

The Long Track consists of eight modules and a total of 100 test questions:

  • Swap Products and Applications (20 test questions)
  • Regulation of the Swaps Market (20 test questions)
  • Onboarding (10 test questions)
  • Transactional Disclosures (10 test questions)
  • Anti-Fraud and Ethical Practices (10 test questions)
  • Trade Execution/Clearing/Margin (10 test questions)
  • Risk Management (10 test questions)
  • Supervision (10 test questions)

The Short Track consists of four modules and a total of 60 test questions:

  • Swaps Products and Applications (20 test questions)
  • Regulation of the Swaps Market (20 test questions)
  • Supervision (10 test questions)
  • Compliance, Anti-Fraud, and Other Requirements (10 test questions)

The testing component of the modules is based solely on the content presented in the modules’ learning component. Therefore, there is no need for additional training or study guides to complete NFA’s Swaps Proficiency Requirements.

Read this next

Reviews

Traders Union Experts Share The Trading Analyst Review For 2024

Navigating options trading in rapidly shifting markets poses a considerable challenge. This is where options trading alert services become invaluable. They aid traders in keeping abreast of evolving opportunities and market trends. In this assessment, Traders Union experts scrutinize The Trading Analyst alert service to ascertain its efficacy. 

Digital Assets

BlockDAG’s Presale Achieves $9.9M: Aiming For A 5000-Fold ROI As Cardano’s Price Rises And Fantom Launches Sonic

Explore Cardano’s surge, Sonic’s efficiency, and why BlockDAG’s growth makes it the top crypto choice. A deep dive into the future of blockchain investments.

Digital Assets

US, UK probe $20 billion Tether transfers tied to Russian exchange.

U.S. and UK authorities are investigating the movement of $20 billion in the USD-pegged stablecoin tether (USDT) through Moscow-based exchange Garantex.

Digital Assets

BlockDAG Presale Raises $9.9M as Batch 5 Nears Sell-Out Amid Bonk’s Fluctuating Trading Volume & Spell’s Bullish Price

Explore BONK’s trading volume, SPELL’s market shifts, and why BlockDAG’s 10,000 ROI makes it an ideal crypto for savvy investors in 2024.

Digital Assets

Bybit expands into Europe amid regulatory scrutiny

Dubai-based cryptocurrency exchange Bybit is expanding its operations in Europe after encountering regulatory challenges in Hong Kong.

Digital Assets

Cathie Wood’s sponsored Bitcoin ETF sees historic $200 million inflows

The ARK 21Shares Bitcoin ETF (ARKB), co-sponsored by Cathie Wood’s ARK Invest, registered historic inflows exceeding $200 million on Wednesday, signaling a robust appetite among investors for Bitcoin-centric investments.

Digital Assets

Sam Bankman-Fried might see his 25-year sentence halved

Sam Bankman-Fried, the founder of the failed cryptocurrency exchange FTX, was sentenced to 25 years in federal prison by a Manhattan court on Thursday. This comes after he was convicted of defrauding customers and investors, with Judge Lewis Kaplan highlighting the potential future risks posed by Bankman-Fried.

Technical Analysis

EURJPY Technical Analysis Report 28 March, 2024

EURJPY currency pair under the bearish pressure after the pair reversed down from the major resistance level 164.25, which also stopped the sharp weekly uptrend at the end of last year,

Digital Assets

BlockDAG’s Presale Hits $9.9M, MultiversX & MINA Price Predictions Show Green

Read about BlockDAG’s promising $10 prediction and insights on MultiversX Price Prediction as MINA’s potential unfolds.

<