CFTC grants exemption to enable greater US access

CFTC grants exemption to enable greater US access to NZX Derivatives Market
5 November 2020 –
The US regulatory agency the Commodity Futures Trading Commission (CFTC) has
granted a Part 30 Exemption Order to NZX in its capacity as a Foreign Board of Trade.
The exemption will allow New Zealand-based NZX Derivatives Participants to solicit US-based clients and
trade on their behalf on NZX's dairy derivatives market, without registering with the CFTC as a futures
commission merchant. Whole Milk Powder, Skim Milk Powder, Anhydrous Milk Fat, Butter and NZ Milk
Price derivatives can be traded on the NZX dairy derivatives market.
Head of Derivatives, Nick Morris, says NZX is pleased to soon be able to offer New Zealand-based NZX
member firms the same level of access to US customers as their US counterparts.
“This will open up more channels to market for customers in the US wanting access to our dairy
derivatives market to manage risk in globally-traded dairy commodities,” he says.
The exemptions will become effective once the Order is published in the US Federal Register, and the
required representations are provided to the US National Futures Association by NZX and NZX
Derivatives Participants.
ENDS

For further information, please contact:
Media – David Glendining 027 301 9248
Investors – Graham Law 029 494 2223

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