Associations Submit Comments to CFTC on Package Trades

The Managed Funds Association ("MFA") submitted a comment letter to the CFTC on certain rule amendments self-certified by ICE Swap Trade, LLC concerning the treatment of swaps entered into as part of defined package transactions ("Package Transactions"). MFA's letter outlines suggestions for phasing in the trade execution requirement for different groups of Package Transactions.

In a related letter, SIFMA submitted comments to the CFTC expressing support for permitting the execution of package transactions subject to the rules of a SEF, as proposed in the ICE SEF Filing. Furthermore, SIFMA identified certain issues that would be raised by requiring package transactions involving futures contracts or securities to be executed on a designated contract market or swap execution facility, including issues raised by proposed revisions to Chicago Mercantile Exchange ("CME") Rule 538.

See: MFA Comment Letter; SIFMA Comment Letter.Related News: MFA Submits Comments to CFTC in Support of Amended SDR Access Rule (April 24, 2014); Significant Differences between Amended and Former CME Rule 538 and Related Guidance (with Cadwalader Summary) (April 21, 2014).