Featured Product

    CFTC Presents Analysis on Swap Dealer De Minimis Exception

    July 08, 2019

    The Division of Swap Dealer and Intermediary Oversight (DSIO) at CFTC issued a report that presents data and analysis on the swap dealer de minimis exception, with a focus on on-venue and cleared swaps. Additionally, CFTC published a statement of the Commissioner Brian Quintenz regarding DSIO staff report on the swap dealer de minimis exception.

    At the November 05, 2018 CFTC Open Meeting, Chairman J. Christopher Giancarlo had asked the CFTC staff to continue their analysis of the range of matters raised in the June 2018 swap dealer de minimis exception notice of proposed rulemaking, which was adopted in November 2018 (collectively with proposed rule "2018 DM releases"). One of the specific requests was to conduct a study on possible alternative metrics for the calculation of the swap dealer de minimis threshold. As noted in the swap dealer definition, “a person who is deemed to be a swap dealer shall be deemed to be a swap dealer with respect to each swap it enters into, regardless of the category of the swap or the person’s activities in connection with the swap.” Therefore, the analysis compares the projected total activity (not just swaps counted in the relevant scenario) of all likely swap dealers to the 2018 DM releases baseline scenario totals. The analysis also compares the total activity remaining in each scenario (after exclusions) of all likely swap dealers to 2018 DM releases baseline scenario totals.

    In May 2012, CFTC and SEC had jointly issued an adopting release further defining, among other things, the term “swap dealer” in CFTC regulation 1.3 and providing for a de minimis exception to the swap dealer registration requirements. The de minimis exception states that a person shall not be deemed to be a swap dealer unless its swap dealing activities exceed an USD 8 billion aggregate gross notional amount threshold.

     

    Keywords: Americas, US, Banking, Securities, De Minimis Exception, Swap Dealers, CFTC

    Related Articles
    News

    HKMA Sets Out Regulatory Treatment for Personal Loan Guarantee Scheme

    HKMA has published a circular that sets out the regulatory and reporting treatment for loans that participating authorized institutions may grant to eligible borrowers under the 100% Personal Loan Guarantee Scheme.

    April 20, 2021 WebPage Regulatory News
    News

    ECB Completes Targeted Review of Internal Models of Banks

    ECB published the results of the assessment of internal models that banks use to calculate risk-weighted assets for credit, market, and counterparty credit risks.

    April 19, 2021 WebPage Regulatory News
    News

    PRA on Regulatory Treatment of Loans Under Mortgage Guarantee Scheme

    PRA published a statement on the regulatory treatment of retail residential mortgage loans under the Mortgage Guarantee Scheme, or MGS.

    April 19, 2021 WebPage Regulatory News
    News

    FCA Consults on Rules and Reporting Forms for Investment Firms Regime

    FCA is consulting, via CP21/7, on the second phase of proposed rules to introduce the UK Investment Firm Prudential Regime (IFPR).

    April 19, 2021 WebPage Regulatory News
    News

    HMT and BoE Decide to Explore Central Bank Digital Currency in UK

    HM Treasury and BoE announced the joint creation of a Central Bank Digital Currency (CBDC) Taskforce to coordinate the exploration of a potential central bank digital currency in UK.

    April 19, 2021 WebPage Regulatory News
    News

    EIOPA Sets Out Expectations on Use of Climate Risk Scenarios in ORSA

    EIOPA published an opinion to set out its expectations on the supervision of the integration of climate change risk scenarios by insurers in their Own Risk and Solvency Assessment (ORSA).

    April 19, 2021 WebPage Regulatory News
    News

    EC Sets Out Standards for MREL Reporting by Competent Authorities

    EC published the Implementing Regulation 2021/622 that lays down implementing technical standards for reporting of the minimum requirement for own funds and eligible liabilities (MREL).

    April 16, 2021 WebPage Regulatory News
    News

    BCBS to Advance Work on Suptech, Climate Risk, and Basel Monitoring

    BCBS has set out the strategic work priorities, as part of its the work program for 2021-22.

    April 16, 2021 WebPage Regulatory News
    News

    Bundesbank Updates AnaCredit Reporting Requirements

    Bundesbank published two circulars on AnaCredit reporting requirements. Circular 27/2021 covers changes to the reporting of branches, additional attributes to be reported for investment funds from August 01, 2021, and updates to the list of international organizations.

    April 16, 2021 WebPage Regulatory News
    News

    PRA Finalizes Supervisory Approach for Non-Systemic Banks in UK

    PRA published the policy statement PS8/21, which contains the final supervisory statement SS3/21 on the PRA approach to supervision of the new and growing non-systemic banks in UK.

    April 15, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6874