CFTC Delays Vote on Ownership, Governance Rules for Swaps Market
The CFTC delayed a vote on rules that would limit bank ownership and control of clearinghouses and trading systems in the swaps market. The CFTC in October released a proposal for capping the ownership stakes that Wall Street banks and other swaps dealers can hold in clearinghouses, exchanges and so-called swap- execution facilities.
The agency, required by Dodd-Frank to hold a final vote by mid-January, proposed a 20 percent cap on the ownership stake for any member of an exchange or swap-execution facility. The proposal didn't include a limit on overall stakes. The U.S. Justice Department, however, sent letters on Dec. 28 to the CFTC and the Securities and Exchange Commission urging "more stringent" regulations.
Publication
Bloomberg
Date
January 12, 2011
Cross References (links may require a Cabinet subscription)
Dodd-Frank Act, Title VII, Sec. 726