In a recently issued no-action letter, the SEC has clarified that swaps on loans or loan indices are also not subject to the registration requirements of the Securities Act of 1933, as amended (1933 Act), the Securities Exchange Act of 1934, as amended (1934 Act) or the Trust Indenture Act of 1939 (1939 Act), until such time as the SEC has finalized its rulemaking regarding “security-based swaps” under Dodd-Frank or modifies its position under this no-action letter. Under Dodd-Frank, the SEC has jurisdiction over security-based swap agreements and had issued a temporary exemption for security-based swap agreements from the provisions of the 1933 Act, 1934 Act and the 1939 Act on July 1, 2011 pending finalizing its rulemakings relating to security based swaps. However, the temporary exemption could have been interpreted to exclude swaps based on loans or loan indices. This no-action letter clarifies that these swaps are also included in the temporary exemption. For a link to the SEC temporary exemption, click the following link. For a link to the SEC no-action letter, click the following link.