ABA joined a coalition of financial trade groups last week welcoming action by financial regulators to provide regulatory relief to swaps market participants during the pandemic.
The Commodity Futures Trading Commission last week issued a proposal intended to provide relief for market participants from the swaps clearing requirement.
The American Bankers Association joined several industry groups in a comment letter to the financial regulatory agencies this week supporting a long-awaited change to swap margin rules that would remove the requirement for covered swap entities to collect initial margin from affiliates.
The FDIC today proposed to remove the requirement for covered swap entities to collect initial margin from affiliates, a change long called for by the American Bankers Association.
The Basel Committee and the International Organization of Securities Commissions announced today that they will delay for one year the final implementation plan for margin requirements for non-centrally cleared derivatives.
The Basel Committee today announced that it will revise the leverage ratio treatment of client cleared derivatives to align it with the standardized approach to measuring counterparty credit risk exposures, or SA-CCR.
The American Bankers Association joined several financial trade organizations in a letter to the prudential regulators earlier this week calling on them to modify the margin rules for non-cleared swaps and security-based swaps to better align them with international standards.
With uncertainty rising around the United Kingdom’s pending withdrawal from the European Union, five federal regulatory agencies today issued an interim final rule to allow qualifying swaps to be transferred from a UK entity to an affiliate in the EU or the U.S. without triggering new requirements.
ABA today commented on a joint proposed rulemaking issued by the OCC, Federal Reserve and FDIC, Farm Credit Administration and the Federal Housing Finance Administration that would align the agencies’ margin rules with restrictions on qualified financial contracts that took effect last year.
As the ABA Securities Association and other trade groups have urged, the Federal Reserve and the OCC today issued guidance on how examiners will review compliance with the requirement for when swap dealers and major swap participants must exchange variation margin for swaps not cleared through a central counterparty.