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Prudential Banking Regulators Amend Their Margin Rules For Non-cleared Swaps

On July 1, 2020, five U.S. prudential regulators published in the Federal Register two separate rulemakings containing significant amendments of the margin rules for non-cleared swaps applicable to swap dealers that are...more

Basel Committee And IOSCO Suggest Delay In Final Implementation Phases Of Margin Requirements For Non-Centrally Cleared...

On 3 April 2020, the Basel Committee on Banking Supervision (BCBS) and the International Organization of Securities Commissions (IOSCO) announced that, due to the impact on the global financial system of the rapid spread of...more

CFTC Issues No-Action Letters To Smooth The Road Away From The IBORs

On December 17, 2019, three different divisions of the Commodity Futures Trading Commission (“CFTC”) issued no-action letters intended to facilitate the swaps market’s transition away from interbank offered rates (each, an...more

Structured Thoughts: News for the Financial Services Community, Volume 10, Issue 6

In this issue of Structured Thoughts, we discuss: ..European Commission consultation on EU benchmark regulation ..FINRA: Suitability and sales practices remain an issue ..SEC charges Switzerland-based dealer for selling...more

Prudential Banking Regulators Propose Amendments to Margin Rules for Non-cleared Swaps

On November 7, 2019, five U.S. prudential regulators published in the Federal Register significant amendments (including the accompanying release, the “PR Amendments”) that they are proposing to modify the margin rules (the...more

CFTC Proposes Rules to Delay Compliance Date for Initial Margin for Swaps with Certain Smaller Financial End Users

On October 16, 2019, the Commodity Futures Trading Commission (CFTC) proposed rules that, if finalized, would delay by one year the date by which swap dealers must comply with the CFTC’s initial margin (IM) requirements in...more

Structured Thoughts: News for the Financial Services Community, Volume 10, Issue 5

In this issue of Structured Thoughts, we discuss: ..FINRA sanctions for a broker for failing to reasonably supervise sales of complex securities. ..NASAA’s report warning about the risks of leveraged and/or inverse...more

Structured Thoughts: News for the Financial Services Community, Volume 10, Issue 4

In this issue of Structured Thoughts, we discuss: ..The SEC’s newly released margin rules for security-based swap dealers. ..U.K.’s Financial Conduct Authority consultation on its proposal to ban the sale, marketing, and...more

Structured Thoughts: News for the Financial Services Community, Volume 10, Issue 3

In this issue of Structured Thoughts, we discuss: ..New Regulation Best Interest, and its impact on the structured products market. ..The SEC’ June 2019 request for comment on simplifying, harmonizing and improving the...more

Structured Thoughts: News for the Financial Services Community, Volume 10, Issue 2

FINRA’S PROPOSED AMENDMENTS TO THE CORPORATE FINANCING RULE – IMPACT ON STRUCTURED NOTE OFFERINGS - On April 11, 2019, FINRA filed with the SEC a diverse set of proposed revisions to Rule 5110, its Corporate Financing...more

Structured Thoughts: News for the financial services community Volume 9, Issue 5

UK FINANCIAL CONDUCT AUTHORITY CALLS FOR INPUT ON PRIIPS - On July 26, 2018, the Financial Conduct Authority (FCA) of the United Kingdom issued a Call for Input in relation to the Packaged Retail and Insurance-based...more

Transitioning Away from the IBORs: ISDA Publishes Consultation Seeking Feedback on Adjustments of Risk-Free Rates

In a move that coincided with statements by regulators on both sides of the Atlantic that interbank offered rates (each an “IBOR”) will in time be discontinued, on July 12, 2018, the International Swaps and Derivatives...more

Five Things to Know About Smart Contracts

Computer scientist and legal scholar Nick Szabo first proposed the idea of “smart contracts” in 1996. Szabo published his initial paper on the topic in a publication called Extropy, a journal of transhumanism, a movement...more

6/22/2018  /  Blockchain , Smart Contracts

CFTC Chairman Issues White Paper Outlining Agenda for Changes to Swaps Regulation

On April 26, 2018, J. Christopher Giancarlo, Chairman of the Commodity Futures Trading Commission (“CFTC” or “Commission”) and Bruce Tuckman, the CFTC’s Chief Economist, issued a white paper outlining changes to swaps...more

Structured Thoughts: News for the financial services community Volume 9, Issue 3

FINAL CANADIAN BAIL-IN RULES: IMPACT ON STRUCTURED NOTES OFFERED IN THE UNITED STATES - In March 2018, the Canadian government released its final regulations relating to “bail-in instruments” issued by Canadian...more

Structured Thoughts: News for the financial services community Volume 9, Issue 2

FINRA 2018 EXAM PRIORITIES: SUITABILITY AND COMPLEX PRODUCTS REMAIN FRONT AND CENTER - In January 2018, FINRA released its annual examination priorities letter.1 The letter addresses a variety of areas that are important...more

The SEC’s Final Rule Regarding Price Quotes and Research Reports Relating to Security-Based Swaps

This month the Securities and Exchange Commission (“SEC”) issued a final rule (the “Final Rule”) that provides that certain communications relating to security-based swaps (either singular or plural, “SBS”) will not...more

CFTC Order Extends Application of Current De Minimis Threshold Until December 2019

Last week the Commodity Futures Trading Commission (“CFTC”) issued an order (the “De Minimis Order”) that pushes back by one year the date on which the CFTC may lower its swap dealer de minimis threshold, the amount of swap...more

The Treasury Report’s Recommendations for Derivatives Regulation

In a previous client alert we provided an overview of the recent report, the second of four, issued by the U.S. Department of the Treasury (“Treasury”) and titled “A Financial System that Creates Economic Opportunities,...more

FINRA Delays Required Collateralization of TBAs and Other MBS Forwards

Late last month the Financial Industry Regulatory Authority, Inc. (“FINRA”) filed with the Securities and Exchange Commission (“SEC”) a proposed rule change to delay until June 2018 the implementation date of certain...more

Treasury Report, Part II: Regulation of the Capital Markets

The U.S. Department of the Treasury (“Treasury Department” or “Treasury”) issued its second report (of four reports), titled “A Financial System that Creates Economic Opportunities, Capital Markets” (the “Report”). The...more

Federal Reserve Board Issues Final Rules Imposing Restrictions on Qualified Financial Contracts of Global Systemically Important...

On September 12, 2017, the Board of Governors of the Federal Reserve System (the “Board”) published in the Federal Register final rules (the “Final Rules”) intended to reduce the potential risks posed to the U.S. financial...more

Replacing Familiar Benchmarks: Preparations to Phase Out the IBORs

Long a mainstay of the financial world, the floating “IBOR” rates, based on the rates of actual or purported interbank offered loans, are now being swept slowly into the dustbin of history. The quantity, in both number and...more

The Federal Reserve and OCC Guidance Regarding Initial Examinations for Compliance with Variation Margin Rules for Non-Cleared...

Last week the Board of Governors of the Federal Reserve System (the “Federal Reserve”) and the Office of the Comptroller of the Currency (the “OCC” and, collectively with the Federal Reserve, the “Banking Agencies”) released...more

Uncertain Times

President Donald Trump may have his sights set on deregulation but a full repeal of title VII looks unlikely - One might think that the stated intention of US president-elect Donald Trump and Republicans in the US...more

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