AIMA

Section 737 of the Dodd-Frank Act mandates the Commodity Futures Trading Commission (CFTC) to establish position limits for futures and options contracts traded on a designated contract market and economically equivalent swaps. On 26 January 2011, the CFTC published proposed rulemaking for the establishment of position limits for 28 core physical commodity futures and options contracts and their economic equivalents.  Final Rules were published in November 2011. 

In September 2012, the US District Court for the District of Columbia struck down CFTC Final Rules on the basis that the CFTC misinterpreted its statutory authority to impose such limits. The Final Rules have now been remanded back to the CFTC for reformulation, subject its decision to appeal which it published on 15 November 2012.

Key legislative documents

United States District Court for the District of Columbia judgement striking down CFTC Final Rules on position limits (September 2012)

CFTC Final Rule – Position Limits for Futures and Swaps (November 2011)

Dodd-Frank Wall Street Reform and Consumer Protection Act 2010 (section 737)

Relevant consultations

CFTC request for comments on Position Limits for Derivatives (January 2011)

AIMA documents

Response to Proposed Rulemaking - Aggregation Under Part 151, Position Limits for Futures and Swaps (July 2012)

Response to CFTC's interim Final Rule on Position Limits for Futures and Swaps (January 2012)

Summary of CFTC Final Rule on Position Limits for Futures and Swaps (December 2011)

Response to the CFTC request for comments on Position Limits for Derivatives (March 2011)