CFTC Approves Delay of Compliance Date for Initial Margin Requirements
CFTC approved a proposal to delay the compliance date of September 01, 2021 to September 01, 2022 for the initial margin requirements for smaller entities under the CFTC Margin Rule. The requirements in this proposal apply to uncleared swaps for swap dealers and major swap participants for which there is no prudential regulator. Comments on the proposal must be received on or before 60 days after the date of publication in the Federal Register.
In April 2020, CFTC had published a final rule to extend the compliance date of September 01, 2020 to September 01, 2021, for a portion of what was to be the final phase consisting of entities with smaller average daily aggregate notional amounts of swaps and certain other financial products (Smaller Portfolio Group). The compliance date was extended to reduce the potential market disruption that could result from a large number of entities coming into the scope of compliance on September 01, 2020. Subsequently, in May 2020, to mitigate the operational challenges faced due to the COVID-19 pandemic, CFTC adopted an interim final rule that extended the September 01, 2020 compliance date for certain entities by one year to September 01, 2021. To avoid market disruption due to a large number of entities being required to comply by September 01, 2021 under the revised compliance schedule, CFTC had issued the current proposal to further delay the compliance date for the Smaller Portfolio Group from September 01, 2021 to September 01, 2022.
Comment Due Date: FR+60 Days
Keywords: Americas, US, Banking, Securities, Swaps, Derivatives, Initial Margin, Compliance Date, CFTC
Previous ArticleEC Announces Additions to Membership of Sustainable Finance Platform
BOE Sets Out Its Thinking on Regulatory Capital and Climate Risks
The Bank of England (BOE) published a working paper that aims to understand the climate-related disclosures of UK financial institutions.
OSFI Finalizes on Climate Risk Guideline, Issues Other Updates
The Office of the Superintendent of Financial Institutions (OSFI) is seeking comments, until May 31, 2023, on the draft guideline on culture and behavior risk, with final guideline expected by the end of 2023.
BIS Paper Examines Impact of Greenhouse Gas Emissions on Lending
BIS issued a paper that investigates the effect of the greenhouse gas, or GHG, emissions of firms on bank loans using bank–firm matched data of Japanese listed firms from 2006 to 2018.
HMT Mulls Alignment of Ring-Fencing and Resolution Regimes for Banks
The HM Treasury (HMT) is seeking evidence, until May 07, 2023, on practicalities of aligning the ring-fencing and the banking resolution regimes for banks.
BCBS Report Examines Impact of Basel III Framework for Banks
The Basel Committee on Banking Supervision (BCBS) published results of the Basel III monitoring exercise based on the June 30, 2022 data.
PRA Consults on Prudential Rules for "Simpler-Regime" Firms
Among the recent regulatory updates from UK authorities, a key development is the first-phase consultation, from the Prudential Regulation Authority (PRA), on simplifications to the prudential framework that would apply to the simpler-regime firms.
DNB Publishes Multiple Reporting Updates for Banks
DNB, the central bank of Netherlands, updated the list of additional reporting requests and published additional data quality checks and XBRL-Formula linkbase documents for the first quarter of 2023.
NBB Sets Out Climate Risk Expectations, Issues Reporting Updates
The National Bank of Belgium (NBB) published a communication on climate-related and environmental risks, issued an update on XBRL reporting
EBA Updates Address Securitization Standards and DGS Guidelines
The European Banking Authority (EBA) published the final draft of the regulatory technical standards that set out conditions for assessment of homogeneity of the underlying exposures in simple, transparent, and standardized (STS) securitizations.
FSB Publishes Letter to G20, Sets Out Work Priorities for 2023
The Financial Stability Board (FSB) published a letter intended for the G20 Finance Ministers and Central Bank Governors, highlighting the work that FSB will take forward under the Indian G20 Presidency in 2023