The SEC filed an order granting approval of FINRA's proposed rule change pertaining to the dissemination of transactions in TRACE-eligible securities that are affected pursuant to Securities Act Rule 144A ("Private Resales of Securities to Institutions"). The proposed rule change was published in the Fed. Reg. on July 25 and proposed that Rule 144A transactions be disseminated subject to the same dissemination caps that are currently in effect for a non-Rule 144A transaction in the applicable security. See: SEC Order of Approval. See also: FINRA Proposed Rule Change: Dissemination of

The SEC's Division of Trading and Markets issued a no-action letter that generally permits the participant of a registered clearing agency, or a registered broker-dealer to which a participant attributes a fail-to-deliver position or allocates such a position pursuant to Rule 204(d) of Regulation SHO, to claim credit for closing out a fail-to-deliver position at a registered clearing agency ("fail to deliver" or "fail") prior to the applicable close-out date, i.e., T+4 or T+6, based on net purchases aggregated over multiple days. The SEC's no-action position modifies the pre-fail credit

NASAA is scheduled to host their 96th Annual Conference next month to discuss how securities regulators and professionals can uphold investor protection amid an evolving regulatory landscape. The conference will be held from October 6-8 in Salt Lake City, and will feature three panel discussions addressing subjects such as the demand for liquidity in privately placed securities, and the current state of securities arbitration and class action. Key speakers at the conference include Secretary General of IOSCO, David Wright, and CEO of SIFMA, Judd Gregg. See: NASAA Announcement of the Conference

The CFTC issued a Concept Release on Risk Controls and System Safeguards for Automated Trading Environments to provide an overview of the automated trading environment, including its principal actors, potential risks, and responsive measures taken by the CFTC or industry participants. The Concept Release also discusses a series of (i) pre-trade risk controls; (ii) post-trade reports and other measures; (iii) system safeguards related to the design, testing, and supervision of automated trading systems; and (iv) additional protections designed to promote safe and orderly markets. Lofchie

The CFTC Division of Clearing and Risk announced that the third phase of required clearing for certain credit default swaps ("CDS") and interest rate swaps begins today, September 9. The CFTC adopted its first clearing requirement determination for four classes of interest rate swaps and two classes of CDS on November 29, 2012. The specifications for the CDS and interest rate swaps required to be cleared are set forth in CFTC Rule 50.4 ("Classes of Swaps to Be Cleared"). Market participants are required to clear swaps subject to a clearing requirement determination unless an exception