External Meetings: Meeting with European Union Member States

During this meeting, the parties discussed the definitions of swap dealers and major swap participants under Dodd-Frank and Core Principles for DCOs.~ ~DCO Core Principles- A representative expressed concern regarding open and competitive markets, noting that clearing houses have a natural “network effect”.  Some concern was expressed about adopting such “open access” beyond the swaps market. Another representative stated that clearing houses should have access to central bank liquidity and that it was imperative that regulators have access to information at the clearing houses and trade repositories.  Some expressed an interest in having the clearing houses and trade repositories located in the jurisdiction of the regulator for unfettered access to such information. ~ ~Definitions of Swap Dealer and MSP  - Participants expressed concern regarding the reach under Dodd Frank and concern about CFTC definition of swap dealer and major swap participant requiring registration of foreign entities with the CFTC.