The Commodity Futures Trading Commission won't delay enforcement of a June 10 deadline for swaps-market participants from hedge funds to small banks to start having their trades backed by clearinghouses, said Chairman Gary Gensler.
“They will be expected to clear come Monday,” Gensler told reporters today at a Sandler O'Neill & Partners LP conference in New York.
Swap-buyers represented by the Investment Company Institute, Securities Industry and Financial Markets Association, and Investment Adviser Association have requested a delay in enforcing the Dodd-Frank Act rule because of incomplete protections for collateral. The regulation is the second phase of clearing under the law intended to reduce risk in the swaps market.
Smaller banks subject to the deadline also have said they aren't ready to meet the requirement and have requested a delay.
Copyright 2018 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.
Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
- Informative weekly newsletter featuring news, analysis, real-world case studies, and other critical content
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
