October 28, 2019

CFTC Commissioner Stump Announces New GMAC Subcommittee on Margin Requirements for Non-Cleared Swaps

Global Markets Advisory Committee Seeking Subcommittee Membership Nominations

Washington, DC — U.S. Commodity Futures Trading Commission Commissioner Dawn Stump today announced the Commission has voted to establish a Subcommittee on Margin Requirements for Non-Cleared Swaps under the Global Markets Advisory Committee (GMAC). Commissioner Stump, sponsor of the GMAC, is seeking nominations for membership on the new subcommittee through a request in the Federal Register. The deadline for the submission of nominations is November 12, 2019.

“I am pleased to announce the establishment of the GMAC’s Subcommittee on Margin Requirements for Non-Cleared Swaps. Implementing margin requirements for certain non-centrally cleared derivatives is a key element of recent reforms.  But, as we heard at the September 24, 2019, meeting of the GMAC, the upcoming implementation phases present unique challenges. I look forward to convening experts to consider those challenges and potential mitigants, including regulatory initiatives,” said Commissioner Stump.

The new subcommittee was established to support the GMAC’s mission to advise the Commission on issues affecting the integrity and competitiveness of U.S. markets and firms engaged in global business. The subcommittee will examine the implementation of margin requirements for non-cleared swaps, identify challenges associated with upcoming implementation phases, and recommend actions the Commission may take to mitigate the challenges identified. Specifically, the subcommittee may consider:

• Identifying challenges associated with forthcoming implementation phases of margin requirements for non-cleared swaps faced by market participants, including swap dealers, asset managers, buy-side participants, and custodians;
• Identifying potential mitigants to the challenges faced by market participants regarding forthcoming implementation phases of margin requirements for non-cleared swaps; and
• Identifying regulatory initiatives that may address such challenges faced by market participants in complying with margin requirements for non-cleared swaps. 

Instructions and criteria for nomination submissions are listed in the Federal Register Notice.

-CFTC-