SIFMA Statement On Agriculture Committee Passage Of Key Derivatives Reforms

SIFMA today released the following statement from Kenneth E. Bentsen, Jr., acting president and CEO, after the House Agriculture Committee passed several pieces of legislation aimed at amending, clarifying or improving Title VII of the Dodd-Frank Act.

“We commend the Committee for taking action on these important pieces of legislation. Dodd-Frank created an entirely new regulatory framework for the derivatives market and these bills will help clarify how regulators are to issue the necessary regulations to implement the law. These bills will strike the so-called “swap push-out provision,” which a number of regulators have said was unnecessary as well as clarify that non-financial end users will be exempt from capital and margin requirements. They will also clarify the treatment of inter-affiliate swaps, address extra-territorial application of derivatives rules abroad and require enhanced cost benefit analysis of all rules promulgated by the CFTC and SEC.

“We urge Congress to pass these pieces of legislation to help ensure the safe, transparent and efficient functioning of derivatives markets.”