SIFMA today issued the following statement from Ken Bentsen, Executive Vice President, following the announcement by the U.S. Commodity Futures Trading Commission that it would address the issue of certain provisions of new swap market rules that are scheduled to go into effect next month but rely on or require other rulemakings, which are not yet finalized:
“SIFMA welcomes the CFTC’s recognition that the looming July 16th deadline presents a serious problem and raises questions of legal certainty around swap transactions absent the completion of the rulemaking process. We will review the details as soon as they are released to determine if today’s action sufficiently addresses the question of legal certainty for existing transactions and those entered into before final rules are effective. The Dodd-Frank Act creates an entire new legal framework and entails a complex rulemaking agenda; we encourage and appreciate efforts to get it right and to ensure markets are not disrupted while this important rulemaking proceeds.”