Partner
Norton Rose Fulbright US LLP
Steven Lofchie is a Partner based in New York. He advises financial institutions and corporate clients on the securities laws and the Commodity Exchange Act, with particular focus on the regulation of broker-dealers, swap dealers, investment funds and other market intermediaries. Steven's transactional practice focuses on securities credit and derivative transactions.
Recent Articles & Comments
If government regulators have set margin requirements that effectively are procyclical (which likely is the case), then a good argument can be made that central clearing exacerbates systemic risk. That is, in the event of significant market downturns, clearing corporations exercise their unilateral power to demand more margin, which will suck liquidity out of the markets and accelerate a downward spiral. That is why the supposed obvious advantages of a central clearing system may not be so…
New York State has been very aggressive in regulating and sanctioning firms engaged in financial activities. In their original form, the to regulate "money laundering" set impossible-to-meet compliance standards. (Ultimately, the were less draconian than those that were proposed originally, but that is saying very little.) The adopted Cybersecurity regulations are open-ended, complex and burdensome and will result in creating many new ways for the government to collect…
The holding in this case serves as a reminder that (i) anyone who exercises day-to-day supervisory authority over the activities of a broker-dealer must be registered as a principal of the broker-dealer and (ii) a legal entity that shares in brokerage commissions generally is required to register as a broker-dealer.
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