Nasdaq and Cboe v. SEC
Court: U.S. Court of Appeals (D.C. Circuit) Amicus Issue: Whether it would be proper to sever the minimum tick-size amendments…
Issue
OTC Derivatives→
Excerpt
Ms. Melissa D. Jurgens
Secretary of the Commission
Commodity Futures Trading Commission
Three Lafayette Centre
1155 21st Street, NW
Washington, DC 20581
Re: Comment Letter on the Exemptive Order Regarding Compliance with Certain Swap Regulations (RIN 3038-AE85) and Interpretive Guidance and Policy Statement Regarding Compliance with Certain Swap Regulations (RIN 3038-AD85)
Dear Ms. Jurgens:
The Asset Management Group (the “AMG”) 1 of the Securities Industry and Financial Markets Association (“SIFMA”) appreciates the opportunity to provide its views to the Commodity Futures Trading Commission (the “Commission”) on the Exemptive Order Regarding Compliance with Certain Swap Regulations (the “Exemptive Order”)2 and Interpretive Guidance and
Policy Statement Regarding Compliance with Certain Swap Regulations (the “Guidance”).3 The AMG continues to have concerns with the Commission’s approach to the cross-border application of its swap regulations, and in particular the U.S. person definition set out in the Guidance. The definition is overly broad and, in many cases, creates uncertainty in the application of the Commission’s regulations. Moreover, the Exemptive Order provides far too little time for asset managers and their clients to assess their status under this complex and subjective definition and to come into compliance with the U.S. rules, exacerbating the difficulty of the interpretive questions and practical challenges arising from implementation of the Guidance’s U.S. person definition. This letter provides our views, and recommendations for the Commission, on the Exemptive Order and the Guidance, which is integrated into and closely linked with the Exemptive Order.