CFTC Chair J. Christopher Giancarlo proposed an alternative cross-border swaps framework to "better balance systemic risk mitigation with healthy swaps market activity in support of broad-based economic growth."
In a new white paper, he previewed weeks ago, Mr. Giancarlo outlined his views on the current CFTC approach to regulating cross-border activities and suggested a new approach that would encourage greater cooperation with non-U.S. jurisdictions. Mr. Giancarlo recommended, among other things:
CFTC Chair J. Christopher Giancarlo underscored the importance for the agency to act with deference toward non-U.S. markets and offered recommendations for a new approach to cross-border swaps reform.
CFTC Chair J. Christopher Giancarlo called on EU regulators to "commit to an equivalence determination process that focuses on achieving comparable regulatory outcomes and not rule-by-rule exactitude."
CFTC Chair J. Christopher Giancarlo offered recommendations for rethinking the agency's application of its swaps rules to cross-border activities.
CFTC Commissioner Brian Quintenz urged European Union regulatory authorities to recommit to deference-based regulation of cross-border central counterparties.
CFTC Commissioners urged European Union regulators to continue cross-border regulatory deference, notwithstanding the United Kingdom's exit from the EU.