NFA Regulatory Notice: Effective Date of Rule Amendments Relating to Customer Collateral for Swaps

The NFA announced that, effective July 1, 2013, the requirements of NFA Financial Requirements Section 16 and the related interpretive notice ("NFA Financial Requirements Section 16: FCM Financial Practices and Excess Segregated Funds/Secure Amount/Cleared Swaps Customer Collateral Disbursements") will apply to FCMs holding cleared swaps customer collateral.

Specific policies that will apply include the following:

• Maintaining written policies and procedures regarding the maintenance of the FCM's residual interest in its cleared swaps customer collateral accounts;

• Approval and notice requirements related to withdrawing, transferring or otherwise disbursing collateral from any cleared swaps customer collateral accounts;

• Providing monthly notification (beginning with the July 31, 2013, monthly filing) of whether any depository used to hold cleared swaps customer collateral during the month is an affiliate of the FCM;

• Providing semi-monthly information on certain collateral and custody information; and

• Providing daily, by noon of each business day, the daily cleared swaps customer collateral calculation.

See NFA Notice I-13-14 to learn more (links externally to NFA website).