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Steven Lofchie
Partner
Fried, Frank, Harris, Shriver & Jacobson LLP

Steven Lofchie, a partner in the Financial Services Group, concentrates his practice in advising financial institutions on regulatory issues and on derivatives and other financial instruments. He is consistently recognized in the United States by Chambers USA, Legal 500, and IFLR 1000 in the areas of financial services regulation and derivatives. The Best Lawyers in America also selected Steven as one of the nation's leading lawyers in several areas including: Administrative/Regulatory, Derivatives and Futures, Securities/Capital Markets, and Securities Regulation Law. He is the author of Lofchie’s Guide to Broker-Dealer Regulation (4th ed. 2011), considered the leading treatise in the field.  In 2014, he testified before a subcommittee of the House on equity market structure.

Steven counsels funds (private and both SEC and CFTC-registered), broker-dealers, and banks regarding regulatory and transactional issues. His regulatory practice addresses virtually all the securities-law related statutory and regulatory requirements applicable to these institutions and their affiliates.

Steven represents many financial entities and their investment advisers on trading.

His transactional practice focuses on over-the-counter derivatives, securities financing, and trading agreements (from prime brokerage to the use of asset-backed structures for the financing of investments in hedge funds), and various types of licensing and membership agreements.

Steven is a frequent writer and speaker on financial regulation and policy. In 2014, he testified before a subcommittee of the House on equity market structure. In addition, he has been very active in developing web-based compliance tools, online compliance manuals, research tools and document analysis systems. These tools are available through www.findknowdo.com.

Fried Frank Regulatory Intelligence includes:

Fried Frank Regulatory Intelligence also hosts tens of thousands of other documents, including statutes, rules, no-action letters, releases, case law and relevant legislation.

Steven received his B.A. from Sarah Lawrence College and has an M.B.A. from Columbia Business School, where he was a General Motors Fellow. He received his J.D. from Yale Law School, where he was a member of the Yale Law Journal.

He also serves as a Senior Fellow on financial regulation at the Center for Financial Stability, a nonpartisan financial industry think tank.

Practice Areas

  • Bank Regulation
  • Broker-Dealer Regulation
  • Commodities & Futures Regulation
  • Derivatives & Structured Products
  • Financial Regulation
  • Investment Management
  • Investment Management Litigation
  • Investment Management Regulation & Compliance
  • Investment Management Transactions
  • OTC Derivatives
  • Structured Products
  • Swap Regulation

Admissions

  • U.S. District Court, Southern District of New York
  • New York

Education

  • Yale Law School J.D., 1989
  • Columbia Business School M.B.A., 1984
  • Sarah Lawrence College B.A., 1979

Recent Articles & Comments

January 27, 2023

The FRB should address custodial services in digital assets. Allowing regulated banks to provide such services to retail investors would potentially reduce a significant risk to which such investors are now subject, as the collapse of FTX demonstrates.

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January 27, 2023

In effect, Commissioner Johnson calls for authority along the lines that the FRB has with respect to banks; i.e., to regulate the holding company of the bank and potentially the subsidiaries of the holding company.

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January 25, 2023

The banking regulators seem to materially misunderstand and overestimate the credit risk in a retail broker-dealer business. SEA Rule 15c3-3 ("Customer protection-reserves and custody of securities"), which imposes strict segregation rules as to the custody of customer assets, combined with the SEC's very conservative net capital rule, SEA Rule 15c3-1 ("Net capital requirements for brokers or dealers"), dictates that retail broker-dealers have a very low risk credit profile. Banks, which can…

January 24, 2023

Commissioner Peirce's remarks are a significant contribution to the ongoing debate on regulating digital assets. While both the SEC and CFTC wish to assert authority over digital assets, neither has developed a comprehensive regulatory scheme, although each regulator ought to be capable of doing so. Rather than put forward comprehensive regulatory plans, the agencies have largely dead-ended into arguments over definitions and jurisdiction; i.e., over which agency should have authority,…