Blunt SEC derivatives proposals too onerous for funds

Crossover between derivatives and liquidity rules threatens heavy burden for buy side

clearing and settlement

On December 11, 2015 the Securities and Exchange Commission (SEC) proposed new rules for mutual funds, exchange-traded funds, and closed funds regarding derivatives usage. This was the second major funds-focused proposal from the SEC in the latter half of the year. The SEC proposed liquidity risk-management rules at the end of September. Derivatives usage by funds has risen rapidly in recent years and the SEC believed its piecemeal regulatory structure for funds needed an overhaul.

The central p

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: