Federal Register: Prudential Regulators Reopen Comment Deadline for Proposal on Swap Margin Rules
U.S. prudential regulators reopened the comment deadline for a proposal to amend rules governing margin requirements for uncleared swaps and security-based swaps. The notice was published in the Federal Register. Comments on the proposal, which were originally due by December 9, 2019, must now be submitted by January 23, 2020.
As previously covered, the proposal would make five substantive changes to the margin rules: (i) removal of inter-affiliate initial margin, (ii) amendments to permit changes to "legacy" swaps relating to benchmarks, (iii) extension of the compliance period for initial margin, (iv) permission of non-material amendments to "legacy" transactions and (v) clarification regarding documentation requirements when initial margin is not exchanged due to the $50 million threshold.
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