Which MAT Will Survive? Amendments, Comments, and Confusion

As of early 2014, the mandatory trading initiative on SEFs and DCMs will take effect.  For this to occur, Make Available to Trade (MAT) determinations must be filed and approved.

Across the Pond: A Look at European Derivatives Regulation

Derivatives trading is a global phenomenon that has recently undergone significant changes.  This means that people involved in the industry must remain continually informed with regard to regulation in other parts of the world.   Many countries are now considering cross-border rules and regulations that will allow market participants from one area of the world to trade in another, making it important to understand some differences in the regulation.  This post will look at the European regulation scheme.

Update on SEF Implementation

Beginning October 2, 2013 all swaps must be traded on either a Designated Contract Market (DCM), or Swap Execution Facility (SEF).  The CFTC implemented this rule to make the opaque Over-The-Counter (OTC) swaps market more transparent, hopefully reducing risk.  Below is a timeline of the final rule regarding Core Principles for SEFs and the required implementation of that rule: 

Swaps Push-Out Rule: Not Doing Much Pushing

The swaps “push-out” rule became effective in July 2013, with considerable opposition from banks.  This rule mainly affects commercial banking entities with retail bank divisions; however it can affect each member of the public as well.  In the past, big banks have failed in part because of risky investments that have lost large amounts of money, causing taxpayers to fund a bail-out.  This rule has the potential to save taxpayers money that, in the past, has been used to bail-out these institutions by eliminating some of the risky investments they make, or by denying fed

Volcker Rule Explained

What’s the issue?

Complying with the CFTC: False or Misleading Statements

What’s the Issue?
Along with the previous post about churning, the false or misleading statements provision of Dodd-Frank provides another weapon for the CFTC to use in eliminating wrongful acts and creating a fair playing field in the derivatives markets.  This section of the Commodity Exchange Act (“CEA”) creates liability for market participants when they don’t cooperate with the CFTC.  This brief post will illuminate the elements of a case involving a false or misleading statement or material omission. 

Sneaky Traders: Churning Exposed

What’s the Issue?

1 Billion Dollar Problem: CFTC v. MF Global

What’s the issue?

Bloomberg v. CFTC: Battle Over Minimum “Liquidation Times”

What’s the issue?

MiFID II – Market Structures