(1.2) US CFTC chair Gary Gensler warns on fund cuts to police derivatives Gary Gensler: head of a task force that is due to issue guidelines in July for making benchmarks more reliable The head of the regulator that oversees the US’s vast derivatives market has warned that a lack of resources could severely damage his agency’s ability to protect the public from future financial scandals. http://www.ft.com/intl/cms/s/0/92d6e6bc-2390-11e3-b506-00144feab7de.html?siteedition=intl&siteedition=intl&siteedition=intl#axzz2fp4ZApR4 US rules ‘endanger’ derivatives reforms Landmark reforms of the derivatives market are being threatened by a battle over the extent of US oversight, according to bankers, investors and officials. http://www.ft.com/intl/cms/s/0/dda5f480-26c4-11e3-bbeb-00144feab7de.html?ftcamp=traffic/email/content/editor//memmkt&siteedition=intl&siteedition=intl#axzz2gLq3JPUd Uncertainty in CFTC: Successor to Chairman Position Remains Unclear as Gensler Nears End of Term. As reported by Reuters, there is a potential void looming over the Commodity Futures Trading Commission’s top position as current chairman Gary Gensler ‘s five year term comes to an end. http://www.cftclaw.com/2013/09/uncertainty-cftc-successor-chairman-position-remains-unclear-gensler-nears-term/ Position Limits…They’re coming back… As regular readers will know, I have previously written several posts about the CFTC’s prior efforts in respect of position limits and the subsequent successful legal challenges to the formerly adopted rule. http://derivativesninja.com/wordpress/?p=314 Dodd-Frank: No Swaps Trade Data Left Behind Institutions need to be able to record all trade data related to swaps and forensically reconstruct each trade at the regulator’s request. It no longer is enough to comply retrospectively; firms now need to think about proactive compliance. http://tabbforum.com/opinions/dodd-frank-no-swaps-trade-data-left-behind Pressure mounts on CFTC for relief on Sef rules CFTC is being lobbied to grant relief on the contentious Footnote 88, which requires platforms to register as Sefs even if the products they offer are not yet made available to trade http://www.risk.net/risk-magazine/news/2294739/pressure-mounts-on-cftc-for-relief-on-sef-rules CFTC should rethink controversial margin rule: commissioner The Commodity Futures Trading Commission should reconsider a proposal to bar brokers from using excess money from one customer to cover the temporary shortfall of another, a top U.S. derivatives regulator said on Thursday. http://in.reuters.com/article/2013/09/26/us-cftc-margins-regulation-idUSBRE98P11M20130926 What the CFTC Concept Release on Automated Trading Means for Derivatives The recent CFTC Concept Release on automated trading will have a significant impact on the technology offerings and the strategic direction derivatives market participants will pursue if new rules are created. TABB Group breaks down the document’s implications for the US derivatives markets. http://www.derivalert.org/blog/bid/95227/What-the-CFTC-Concept-Release-on-Automated-Trading-Means-for-Derivatives Looking through the CFTC’s prism The CFTC’s recent Concept Release on Risk Controls and System Safeguards for Automated Trading Environments represents a watershed moment for US derivatives markets, setting the stage for a new regulatory approach to electronic trading. http://regulation.fidessa.com/2013/09/24/looking-through-the-cftc%E2%80%99s-prism/ CFTC Finds Reverse Gear. Again. On 27 September the Commodity Futures Trading Commission (CFTC) issued a further 3 no-action letters – this time in relation to swap execution facilities (SEFs). http://regulatoryreform.wordpress.com/2013/09/28/cftc-finds-reverse-gear-again/ Derivatives Pushout Bill Set to Get U.S. House Vote Next Week The U.S. House plans to vote next week on a measure that would undo a Dodd-Frank Act requirement that banks move their derivatives business out to affiliates. http://www.bloomberg.com/news/2013-09-25/derivatives-pushout-bill-set-to-get-u-s-house-vote-next-week.html US CFTC warns against some derivatives documents, after investors balk The U.S. Commodity Futures Trading Commission has warned against the use of controversial documents that have been at the center of disputes in the $300 trillion derivatives market in recent weeks, after some fund managers accused big banks of trying to use the proposed agreements to maintain their market control. http://www.reuters.com/article/2013/09/27/derivatives-documentation-cftc-idUSL2N0HN1U220130927