Today, the Commodity Futures Trading Commission (CFTC) announced the signing of a Memorandum of Understanding (MOU) with our sister agency in France, the Autorité des marchés financiers (AMF). The MOU further extends and formalizes what has long been a strong and productive cooperative relationship between the two agencies and ensures that both agencies can apply the proper oversight to registered entities operating within each other’s jurisdictions. Indeed, as the MOU lays out, this is actually the tenth extant agreement, dating back to 1990, that enhances cooperation between the CFTC and the AMF. Our cooperation and collaboration improve our ability to protect customers, foster integrity and confidence of financial markets, and reduce systemic risk.

The MOU outlines an array of procedures that will greatly streamline the provision of information from French firms to the CFTC, and vice versa. Among other benefits of this agreement, it confirms the CFTC’s ability to seek data directly from French-registered firms pursuant to the procedures provided in the MOU, and to coordinate and execute on-site visits at French-registered entities should the need arise. The MOU also defines how mutual cooperation will interact with French and European Union blocking and privacy laws, and lays out the permissible uses of non-public information.

In light of the global nature of financial markets, the CFTC will only be successful in achieving its regulatory goals with international cooperation. Increasingly, the supervisory responsibilities of the Commission, including the oversight of multinational financial institutions with operations in the United States, surveillance of derivatives markets across jurisdictions, and coordinated enforcement actions, require the cooperation of regulators in other jurisdictions. Our interconnected financial systems necessitate fostering dedicated relationships with our partners overseas.

I thank the staff of the Office of International Affairs, in particular Suyash G. Paliwal, Natalie M. Radhakrishnan, and Jennifer Levin, whose hard work enabled the successful execution of this important agreement that ensures ongoing cooperation between the United States and French governments. I also thank IOSCO and its Secretary General Martin Moloney for providing the venue for the formal signing of this accord.