Risk Management Controls for Brokers or Dealers with Market Access - Extension of Compliance Dates

SEC Release No. 34-64748

June 27, 2011

The SEC announced that it is extending the compliance date for certain requirements of recently adopted Exchange Act Rule 15c3-5. In particular, the SEC extended, until November 30, 2011, all of the requirements of Rule 15c3-5 for fixed income securities, and the requirements of Rule 15c3-5(c)(1)(i) (requiring risk management controls to prevent entry of orders that exceed certain credit or capital thresholds) for all securities. The remainder of Rule 15c3-5, which requires broker-dealers with direct access to specified securities trading facilities to have in place risk management controls, will be effective July 14, 2011.

Please contact any of the following Cadwalader attorneys if you have any questions about this item:

Steven Lofchie; [email protected]

Glen Barrentine; [email protected]

Cross References

Exchange Act Rule 15c3-5

CWT Clients Friends Memo: The SEC Publishes Final Rule Regulating Access to Securities Markets (Nov. 15, 2010)

SEC Release No. 34-63241 (Final Rule)

SEC Release No. 34-61379 (Proposed Rule)