file-o file-word file-excel file-powerpoint file-image file-archive file-audio file-movie file-code file-openoffice file-css menu googleplus facebook instagram twitter feed youtube vimeo2 lanyrd flickr picassa deviantart github wordpress blogger tumblr yahoo soundcloud skype linkedin lastfm delicious stumbleupon stackoverflow pinterest foursquare cross arrow-left arrow-down arrow-up arrow-right arrow-left2 arrow-down2 arrow-up2 arrow-right2 arrow-left3 arrow-down3 arrow-up3 arrow-right3 search

You are here

FIA asks SEC to amend proposed margin requirements for credit default swaps

FIA asks SEC to amend proposed margin requirements for credit default swaps

19 November 2018 9:15pm EST

On Nov. 19, FIA submitted a letter to the Securities and Exchange Commission in response to a re-opening of the comment period on proposed rules relating to single-name credit default swaps and other security-based swaps. The proposed rules, which include capital, margin and segregation requirements for security-based swap dealers, was first issued in November 2012 but never finalized. In October 2018, the SEC updated the proposal and re-opened the comment period to seek additional feedback from market participants. In its letter, FIA urged the SEC to reconsider a proposed requirement that clearing firms seek SEC approval for their margin methodologies and internal risk models. Instead the SEC should adopt a "harmonized approach" that defers to the standard margin methodologies used by clearinghouses such as ICE Clear Credit, FIA said. In addition, FIA urged the SEC to coordinate with the Commodity Futures Trading Commission regarding the proposed capital requirements and pointed in particular to three proposed amendments that could impair the ability of clearing firms to clear security-based swaps.

Advertisement
Advertisement

Attachments

Icon
Capital, Margin and Segregation Requirements for Security-Based Swap Dealers.PDF (156.27 KB)

Close

Close

Menu

Menu

Back to FIA