10.12.18
SEC Revives Push to Finish Long-Awaited Swaps Rules
by: Gabriel T. Rubin
By a 4-1 margin, the SEC voted to revive proposals that would set capital and margin requirements for securities-based swaps. It did so by asking for a fresh round of public comment, a necessary step to complete the packages of swaps rules and start requiring broker-dealers to comply with them.The proposals have languished since 2014 and in some cases date to 2012, in part because the issue wasn't a priority at the regulator. The proposal sets minimum capital requirements for securities-based swap market dealers and participants, as well as margin requirements that specify the cash and securities that participants must put up to back their trades. Other provisions relate to record-keeping and reporting, as well as one that would establish a waiver process for dealers to be able to work with firms previously labeled by the SEC as “bad actors.”
Read the full article on Wall Street Journal