On April 22, FIA responded to the Treasury Department's Request for Information on the evolution of Treasury market structure. FIA stressed the importance of taking into account the existing regulations already in place for U.S. futures markets and cautioned against singling out Treasury futures for additional oversight. FIA noted that existing regulations cover trading risk controls, enhanced market surveillance and market data collection, and it urged regulators to avoid imposing additional unnecessary regulation in these areas on futures markets.
FIA Principal Traders Group submitted a separate response, warning that any changes in market structure must first acknowledge the benefits afforded by technological innovations and increased competition, including improved transparency and lower costs for investors. FIA PTG recommended that regulators increase the use of both pre- and post-trade risk controls as well as self-match prevention technology.
