ICE Trust pulls credit default swap application
Intercontinentalexchange Inc said on Thursday it withdrew an application to register its credit default swaps trading as a derivatives clearinghouse with the CFTC because of "the significant changes proposed to the commission regulations," a company spokesman said. The withdrawal comes a week after the CFTC proposed a rule that addresses part of the law requiring clearinghouses to have strong risk management standards and provide "fair and open access" to potential members.
Gary Gensler, chairman of the agency, has in the past complained that swaps clearinghouses acted like "exclusive clubs" and have unnecessarily kept out smaller players. The CFTC had received comments criticizing ICE's application because it required clearing members to have at least $1 billion in capital.
Publication
Reuters
Date
December 20, 2010
Cross References (links require a Cabinet subscription)
Dodd-Frank Act, Title VII, Sec. 725(c)(2)(C)
Proposed CFTC Rule 39.12