All CTAs are required to deliver a Disclosure Document for their offered program to a prospective client prior to or when it delivers the advisory agreement to the client. The CTA must obtain from prospective clients an acknowledgement signed and dated by the client or participant stating that they received a Disclosure Document. An electronic signature if acceptable if the Disclosure Document was delivered electronically.
All CPOs are required to deliver a Disclosure Document to a prospective pool participant prior to when it delivers the pool subscription agreement to the participant. However, if a prospective pool participant is in another pool operated by the same CPO or by a CPO who controls, is controlled by, or is under common control with the CPO, then Disclosure Documents do not have to be delivered. The CPO must obtain from prospective pool participants an acknowledgement signed and dated by the participant that they received a Disclosure Document. An electronic signature if acceptable if the Disclosure Document was delivered electronically.
Exception: Disclosure Documents are not required to be delivered where the CTA is direction the account of or a CPO is offering a pool exclusively to a qualified eligible person (QEP) and the required exemption notice has been filed with the National Futures Association (NFA). The Commodity Futures Trading Commission (CFTC) outlines this exception in Regulation 4.7.
The NFA's Disclosure Documents: A Guide for CPOs and CTAs is an excellent resource and can guide you through the Disclosure Documents process.