29 December 2010
Justice Department seeks tougher CFTC and SEC swaps rules | Reuters
The DoJ is asking the SEC and CFTC to tighten their rules on ownership of clearing houses for derivatives.
The financial regulators are looking to limit individual members of the clearing houses to 20%, while Justice's anti-trust regulators want there to be a 40% limit applied to all, "banks and other major swaps players," in order to prevent 3 or 4 of the big players to create a monopoly situation, in addition to more strictly regulating the boards of these clearing houses.
I'm not sure if it is good news that the DoJ is asking for more, or bad news that the SEC and CFTC asked for so little to start with.
The financial regulators are looking to limit individual members of the clearing houses to 20%, while Justice's anti-trust regulators want there to be a 40% limit applied to all, "banks and other major swaps players," in order to prevent 3 or 4 of the big players to create a monopoly situation, in addition to more strictly regulating the boards of these clearing houses.
I'm not sure if it is good news that the DoJ is asking for more, or bad news that the SEC and CFTC asked for so little to start with.
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Finance
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Justice
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regulation
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