CFTC Said to Delay March 9 Vote on Swap-Dealer Definitions Rule
The U.S Commodity Futures Trading Commission has delayed a vote on a rule defining swap dealers under the Dodd-Frank Act and may take up the measure on March 20, according to a person briefed on the schedule.
The CFTC’s five commissioners were planning to vote March 9 on the rule that will determine which banks, hedge funds and energy companies face the highest capital and collateral requirements, said the person who spoke on condition of anonymity because the schedule isn’t public. The agency had already delayed a Feb. 23 vote on the regulation.
The regulation is among the most contentious measures required by Dodd-Frank and has led to hundreds of meetings and comment letters involving firms such as Vitol Inc., DRW Holdings LLC and JPMorgan Chase & Co. (JPM) Energy companies have said they shouldn’t be considered dealers because they use swaps to reduce risk tied to oil and natural gas assets.
Dodd-Frank, the regulatory overhaul enacted in response to the 2008 credit crisis, requires the CFTC and Securities and Exchange Commission to complete rules defining which firms are dealers or other major swap users.
To contact the reporter on this story: Silla Brush in Washington at email@example.com
To contact the editor responsible for this story: Maura Reynolds at firstname.lastname@example.org
Bloomberg moderates all comments. Comments that are abusive or off-topic will not be posted to the site. Excessively long comments may be moderated as well. Bloomberg cannot facilitate requests to remove comments or explain individual moderation decisions.