These communications are addressed to bcdrnotices@cftc.gov. MARCH 18, 2020 Due to the coronavirus (COVID-19) pandemic, FINRA is temporarily relieving member companies of the rules and requirements set out in the FREQUENTLY ASKED Questions below. The discharge granted shall not exceed the established rules and requirements. As the risks associated with the coronavirus decrease, member companies should expect to once again meet all regulatory obligations for which relief has been granted. Where appropriate, FINRA will issue a regulatory notice announcing a termination date for regulatory relief, giving member entities time to make the necessary operational adjustments. (h) Business continuity and disaster recovery plans required by other regulatory authorities. A swap dealer or a significant participant in swaps shall comply with the requirements of this Regulation, in addition to any business continuity and disaster recovery requirements imposed on the swap dealer or major swap participant by its supervisory or other regulatory or self-regulatory authority. On March 12, 2020, the NFA reminded DSs of their reporting obligations under CFTC Rule 23.603. SDs must notify TCRC staff when the TCD implements a telework plan or activates their business continuity plan for any reason other than testing.

6. Timely safeguarding or reproduction of documents and data essential to the activity of the swap dealer or large swap participant or to compliance with the regulatory obligations of the swap dealer or major swap participant, with sufficient frequency and storage of off-site information in paper or electronic form. Companies must provide FINRA with their contact information in the event of an emergency. If a company is unable to contact FINRA during a major business disruption through its regular contact such as the district office or direct dial telephone number, please call FINRA`s Gateway Call Center at (301) 590-6500. This number is redirected in the event of a business interruption in FINRA`s main call centre, so that the company can reach an operator or receive recorded instructions. This information will also be published on www.finra.org. 2. Identification of supervisory personnel responsible for implementing every aspect of the business operations and disaster recovery plan and emergency contacts to be provided in accordance with this Regulation. The NFA expects these access points to return to the head office or be registered as a branch once the Company ceases operations in accordance with its business continuity plan. . FINRA`s Office of the General Counsel (OGC) staff provide interpretive assistance to broker-dealers, lawyers, registered representatives, investors and other interested parties with respect to FINRA`s rules.

For more information, see Interpreting the rules. (7) Identification of potential business interruptions by third parties necessary for the continued operations of the swap dealer or large swap participant and plan to minimise the impact of such disruptions. Today, March 13, 2020, as part of a crisis-related business continuity plan, the NFA granted branch facilitation to members whose associates are teleworking. In a notice to members, the NFA acknowledged that a number of brokers and trading companies are considering allowing employees to work from home or in other remote locations that are not listed as a branch on the company`s Form 7-R. NFA Interpretation Notice 9002 – Registration Requirements; Branches require NFA members (with the exception of DSs) to treat as a branch any place from which related persons (PAs) are involved in activities that require registration, with the exception of the company`s primary business address. Each branch site must have a branch manager who must be registered and pass the Series 30 Branch Manager exam. A company must treat the elements to the extent applicable and necessary. If any of the elements do not apply, the company`s BCP must document the rationale for not including the element in its plan. If a company relies on another company for one of the elements or a business-critical system, the company`s BCP must manage that relationship. The National Futures Association (NFA), the U.S. derivatives self-regulatory body, has coordinated with the U.S. Commodity Futures Trading Commission (CFTC) to issue three notices to NFA members on the coronavirus pandemic and corporate responses to the crisis.

The announcements relate to branches, swap broker (SD) telework and general updates to the business continuity plan. In the following, we summarize the notes. Due to the evolving COVID-19 situation, the NFA has announced that it will not take disciplinary action against a company that allows access points to work temporarily from locations that are not listed as a branch without a branch manager, provided that the company`s BCP procedures must be appropriately designed so that the company can meet its existing obligations to customers. A company must disclose to its customers how its BCP handles the possibility of significant business disruption and how companies intend to respond to events to varying degrees. .

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