November 30, 2015

November 30, 2015

Securities and Exchange Commission (SEC) Reopening Comment Periods for Certain Rulemaking Releases and Policy Statement Applicable to Security-Based Swaps

Under the Dodd-Frank Wall Street Reform and Consumer Protection Act, regulatory authority over derivatives is divided between the Securities and Exchange Commission and the Commodity Futures Trading Commission. The SEC has regulatory authority over security-based swaps, the CFTC has regulatory authority over swaps, and the SEC and the CFTC have joint regulatory authority over mixed swaps. 

Title VII of the Dodd-Frank Act (Title VII) amends the Securities Act of 1933 and the Securities Exchange Act of 1934 to expand the regulation of security-based swaps. The SEC has proposed substantially all of the rules required to be adopted by Title VII. In light of the substantially complete picture of the proposed security-based swap regulatory regime and the adoption by the CFTC of many of the rulemakings creating the swaps regulatory regime, the SEC is reopening the comment periods for its outstanding rulemaking releases concerning security-based swaps and security-based swap market participants (the Proposed Rules). 

The SEC specifically is seeking comments on, among other things: (i) the economic consequences and effects, including costs and benefits, of the Proposed Rules; and (ii) the relationship of the Proposed Rules to any similar requirements of other authorities, and specifically whether and to what extent the SEC should emphasize consistency with the CFTC’s rules. 

The SEC is reopening the comment periods of the Proposed Rules until  60 days after publication in the Federal Register.

Click here to read the SEC Release on the reopening of the comment periods.

©2015 Katten Muchin Rosenman LLP


About this Author

Janet M. Angstadt, Securities Lawyer, Katten Muchin

Janet M. Angstadt is the head of Katten's Chicago Financial Services practice. She focuses her practice on broker-dealer and exchange compliance issues and advises companies on matters regarding compliance with the regulations of the US Securities and Exchange Commission (SEC) and self-regulatory organizations (SROs).

Janet represents clients in a wide range of legal and regulatory matters, including mergers and acquisitions, SRO investigations, compliance issues related to registrations, sales practice, short sales, Regulation NMS, market-making and options and equities order...