The Hong Kong Monetary Authority ("HKMA") and the Securities and Futures Commission ("SFC") jointly issued a report ("Conclusions Paper") on the reporting of OTC derivatives transactions in Hong Kong. The Conclusions Paper is based on comments received regarding the agencies' July 2014 joint consultation paper on Securities and Futures ("OTC Derivatives Transactions – Reporting and Record Keeping") Rules (the "Consultation Paper"). The Consultation Paper solicited comments on the following key proposals regarding the OTC derivatives market: types of transactions that will have to be reported

The SEC penalized Morgan Stanley Co. LLC for violating the market access rule when it failed to uphold credit limits for a customer firm with a "rogue trader" who engaged in the fraudulent trading of Apple stock. The SEC found that that the firm did not have the risk management controls necessary to prevent the rogue trader from entering orders that exceeded pre-set trading thresholds. Se e: SEC Order.

The NFA ordered NFA member and previously registered CFC retail foreign exchange dealer FXDirectDealer LLC ("FXDD") to pay a fine, and to operate solely as an NFA member introducing broker, for failing to (i) implement an adequate anti-money laundering ("AML") program and (ii) supervise the firm's operations and employees. See: NFA Decision; NFA Complaint. See also: AML Specialty Page (available to Cabinet subscribers only).

The U.S. Congress is scheduled to consider a proposal to allow banks to keep swaps trading units. The congressional vote on the proposal, which is included in the government funding bill ( H.R. 83), will take place soon. Regarding the bill, FDIC Vice Chair Hoenig stated that "[i]t is illogical to repeal the 716 push out requirement," and explained that most derivatives would not even be pushed out of the bank because "interest rate swaps, foreign exchange and cleared credit derivatives can remain within the bank." According to Vice Chair Hoenig, the main items that must be pushed out under

FINRA named Joseph M. Mecane as the Floor Member Governor on its Board of Governors. Previously, Mr. Mecane served as Executive Vice President of NYE and Head of U.S. Equities for NYSE at Intercontinental Exchange Group, Inc. FINRA is overseen by a 24-person Board of Governors, with 13 seats held by public governors and 10 by industry governors. Governors are appointed or elected to three-year terms and may not serve more than two consecutive terms. See: FINRA Press Release.