Capitolis Announces CFTC Issues No-Action Relief for Post-Trade Risk Reduction Services

Relief unlocks greater potential for risk reduction opportunities and capital efficiency across the Capitolis Portfolio Optimization network

NEW YORK–(BUSINESS WIRE) — Capitolis, the financial technology company, today announced that the U.S. Commodity Futures Trading Commission (CFTC) has issued a no-action letter related to post-trade risk reduction services (PTRRS). This development will expand the ability of PTRRS providers, such as Capitolis, to offer optimization opportunities that help market participants reduce a variety of meaningful non-market risks in their portfolios and contribute to reducing the overall level of systemic risk.

The letter, issued in response to a request by Capitolis and its industry peers, provides regulatory clarity for offering PTRRS to U.S. persons without additional trading venue registration, while setting out key exemptions from derivatives clearing, trading, and real-time reporting obligations. This reinforces PTRRS’s growing recognition as a critical tool to reduce risk and strengthen global derivatives markets.

This development closely aligns the U.S. regulatory framework with similar recent regulatory actions in the UK and the EU, enabling greater optimization capabilities and unlocking broader opportunities across Capitolis’ growing global network. By reducing regulatory fragmentation, the CFTC’s position helps facilitate more seamless participation for market participants, supporting increased efficiency and scalability.

“This is a milestone for post-trade risk reduction in the U.S. market,” said Gavin Jackson, Co-Head of Portfolio Optimization at Capitolis. “PTRRS is a categorically different activity from traditional derivatives trading, reducing sources of non-market risk rather than creating them. The CFTC’s no-action letter helps to enable a broader set of market participants to access optimization runs. Combined with aligned frameworks in the UK and the EU, this opens the door to more efficient global optimization at a time when capital, funding and liquidity requirements have never been more important.”

Capitolis continues its momentum as the company builds on strong performance driven by new product launches, record business results, an expanding client network, and key leadership appointments across its management team.