Tag Archives: Dodd-Frank

Approaching Ambiguities in the Financial Entity Definition

The third installment of our ongoing series on the 2014 CFTC Reauthorization Act covers a potential change to the definition of a "financial entity", which has been a particularly troublesome and confusing definition for end-users, and the banks that enter into swaps with them. In addition, the CFTC may be able to address the confusion through its rule making and interpretations, without the need for a legislative change.… Continue Reading

The 2014 CFTC Reauthorization Act: An Ongoing Series

In late June, the U.S. House of Representatives passed a bill to reauthorize the CFTC, HR 4413, which includes a number of revisions to the Dodd-Frank Act and CFTC regulations. Most of these proposed changes are an attempt to limit some of the added regulatory burden for various swap end-users. We are beginning a series of posts that will further analyze the 2014 CFTC Reauthorization Act.… Continue Reading

Breaking- CFTC Staff Offers Relief from Reporting and SEF Rulebook Enforcement Obligations In a Series of Letters

By Andrew Cross and Tom Watterson Last night the CFTC Division of Market Oversight (“DMO”) released CFTC Letters 13-55, 13-56, and 13-57. CFTC Letters 13-56 and 13-57 are particularly relevant for market participants other than SEFs. CFTC Letter 13-55 provides no-action relief to the SEFs for compliance with the Part 43 reporting obligations and the … Continue Reading

Attention Hedge Funds, Mutual Funds, ETFs, CPOs and CTAs: CFTC Amends Part 4 of Its Rules

NEW RULES WILL AFFECT ALL MONEY MANAGEMENT INDUSTRY PARTICIPANTS On February 9th, the CFTC issued final amendments to Part 4 of its rules that will impose additional compliance obligations on nearly every category of money management industry participant, including: Investment advisers regulated by the Securities and Exchange Commission (“SEC”); Mutual funds and exchange-traded funds registered under … Continue Reading

OTC Derivatives Documentation: Before and After Dodd-Frank

Andrew Cross recently wrote an article that was published in Derivatives Week and Derivatives Intelligence http://www.derivativesintelligence.com  on the topic of documentation. Access to both publications is restricted to paid subscribers or individuals who are granted a free trial subscription. Good day. Good reading. TSR… Continue Reading

I am sorry, but my template made me do it. (A brief note on CFTC’s rule proposal re: documentation of customer trading relationships by swap dealers and MSPs)

For those of you who have negotiated even a single ISDA on behalf of a non-dealer counterparty, you know how frustrating it is to be on the receiving end of this response (i.e., to a requested change to an draft ISDA Schedule during the course of your negotiation): THAT TERM IS PART OUR TEMPLATE AND, IN ORDER … Continue Reading

ANTIDISRUPTIVE PRACTICES AUTHORITY: A Summary of the CFTC’s Proposed Interpretive Order

The Proposed Interpretive Order is available here. It has not yet been published in the Fed Reg. SUMMARY OF DODD-FRANK SECTION 747 Effective July 16, 2011, Section 4(c)(a)(5) of the CEA (added by Section 747 of Dodd-Frank) will prohibit the following “disruptive practices” in respect of trading, practices or conduct in respect of exchange-traded futures … Continue Reading

Dodd-Frank Teleseminar: February 24, 2011 @ 12:00 p.m. EST

Our Firm will host a Teleseminar on February 24th at 12:00 p.m. EST – summary is set forth below.  This teleseminar touches many different topical areas, so derivatives represent one piece. To register contact: Sandy Petrakis E: spetrakis@reedsmith T: 412-288-3131 Good day. Good registration. TSR Dodd-Frank – What Happened and What’s Next What amendments may … Continue Reading

Op-Ed: The Imposition of Margin on End-Users is a Marginal Issue

Over the past two weeks, a discussion has ensued between lawmakers and policymakers tasked with implementing derivatives market regulatory reforms under Dodd-Frank. At a high level, (mainly) Republican lawmakers have been repeating the mantra, “Dodd-Frank is not intended to impose margin requirements on end-users and doing so will hurt Main Street by making derivatives trading … Continue Reading

Washington Update: 13 Senators + 1 Sub-Committee Chairman = A Theme: Pace Good, Prescriptive Bad

Two current events in Washington, D.C. worth noting – a common theme, “prescriptive”. First, 13 Senators (10 Republicans; 3 Democrats) sent a letter dated February 8, 2011 to Secretary Geithner and Chairmen Bernanke, Gensler, and Schapiro. The letter focused on the end-user exemption and the central themes were: 1) Do not impose margin requirements on end-users, since … Continue Reading

Dodd Frank Update Chart

Our Firm has prepared a Dodd Frank Update Chart that gives you electronic access to all Dodd-Frank Rulemaking initiatives – not just derivatives but all sixteen titles and topics – in one document. It is current as of December 19th or so and will be updated in the New Year and regularly thereafter. Good morning. … Continue Reading

Derivatives Regulatory Update Calendar

A primary goal of The Swap Report is to present complex information in a "user friendly" manner. To this end, we are providing our readers with a "Derivatives Regulatory Update" Download file (.PDF), which combines recent CFTC and SEC derivatives regulatory activity in one convenient .PDF file. The information included consists of: 1) A summary of the … Continue Reading

Five (5) New Proposed Rules From CFTC

The CFTC is soliciting comment in respect of five proposed rules published today (November 2nd) in the Federal Register. Comment due dates noted below 75 FR 67254 17 CFR Parts 1 and 4 Removing Any Reference to or Reliance on Credit Ratings in Commission Regulations; Proposing Alternatives to the Use of Credit Ratings 30 Day Comment Period … Continue Reading
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