Market Structure archive
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US Treasury market gears up for central clearing
Banks, broker-dealers, asset managers and other participants in the US Treasury market are scrambling to comply with a regulatory mandate to step up their use of central clearing.
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FIA seeks refinements to CME treasury clearing proposal to support FCM participation
FIA has filed comments with the US Securities and Exchange Commission in response to CME Securities Clearing's application and proposed rules to clear cash and repo treasury transactions.
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Trade associations urge the European Commission to extend the equivalence decision for UK CCPs
As the time-limited equivalence decision for UK CCPs expires on 30 June 2025, FIA and several other trade associations urge the European Commission to extend the equivalence decision for UK CCPs in a non-time-limited manner and well in advance of 31 March 2025.
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FIA participates in CFTC roundtable on new and emerging issues in clearing
In addition to discussing conflicts of interest, roundtable participants shared their views on the custody and delivery of digital assets, full collateralization, 24/7 trading and non-intermediated clearing with margin.
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High-level roadmap for adoption of T+1 in EU securities markets
The European T+1 Industry Task Force, comprising 21 trade associations involved in European capital markets including FIA and FIA EPTA, has published a report titled "High-level Roadmap for Adoption of T+1 in EU Securities Markets."
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CFTC’s Behnam discusses US Treasury and repo clearing
FIA COO Jackie Mesa moderated a discussion with Commodity Futures Trading Commission Chair Rostin Behnam at the 2024 Treasury Market Conference, an annual event co-hosted by the US Treasury Department, the Federal Reserve Board of Governors, the Federal Reserve Bank of New York, the Securities and Exchange Commission, and the CFTC. Behnam addressed FMX’s entrance into the US interest rate futures and the role of LCH as the clearinghouse for FMX.
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Trade associations call for clarity on EMIR 3.0 effective implementation dates
FIA, AIMA, EBF, EFAMA and ISDA have sent a letter urging the European Commission and European Supervisory Authorities to clarify that market participants are not required to implement the European Market Infrastructure Regulation (EMIR 3.0) Level 1 provisions prior to the date of application of the associated Level 2 regulatory technical standards (RTS).
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FIA responds to CFTC Foreign Boards of Trade proposed rulemaking
Under current rules, US-based commodity pool operators, commodity trading advisers, futures commission merchants and prop firms can directly access Foreign Boards of Trade. The pending rule would include US-based introducing brokers among the permissioned registrants. FIA’s letter supports the proposed expansion, noting that adding introducing brokers to the mix should provide more brokerage options for US customers and promote liquidity in foreign products.
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FIA responds to CFTC proposed rulemaking on FCM separate account margining
FCMs are currently relying on no-action relief that allows them to separately margin accounts of the same beneficial owner. This rule marks the second attempt by the CFTC to codify that relief. FIA’s letter asks the CFTC to codify the relief as written without laying on additional highly prescriptive requirements that limit FCM discretion to risk manage accounts.
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FIA responds to FICC access and segregation proposals
FIA has responded to the Fixed Income Clearing Corporation’s proposals to revise its customer clearing access models and to modify its margin segregation rules in order to implement the SEC’s new clearing mandate for U.S. Treasuries. FIA's response identifies conflicts between the proposed access structures and CFTC rules to which FCMs are subject.
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