SIA Submits Comments to the SEC and CFTC on Narrow-Based Security Indexes

The Securities Industry Association (SIA)* provides comments to the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) on new rule proposals by the SEC and CFTC relating to the definition of narrow-based security index under the Securities Exchange Act of 1934, and the Commodity Exchange Act, SEC File No. S7-11-01. While SIA acknowledges the proposals are a good first step, they share their concerns that the approach taken by the proposals is in certain respects unnecessarily burdensome and may lead to uncertainty as to whether stock index futures contracts will be viewed as broad-based or narrow-based on an ongoing basis.
*SIFMA is the product of a merger between the Securities Industry Association (SIA) and The Bond Market Association (TBMA) in 2006.