The SEC’s recently released rulemaking schedule for implementation of the Dodd-Frank Act includes a schedule for implementing the derivatives trading provisions of the Act. Generally speaking, the agency plans to propose derivatives trading rules during the period from October to December 2010, including rules to address the following:
- Definitions of key terms in the Act (joint rulemaking with the CFTC)
- Recordkeeping required of swap dealers and major swap participants with respect to security-based swap agreements (joint rulemaking with the CFTC)
- Mandatory clearing of security-based swaps
- The end-user exception to mandatory clearing
- Registration and regulation of security-based swap dealers and major security-based swap participants
Presumably, the agency will be receiving and addressing comments on these items during January to March 2011, as the agency plans to adopt the corresponding final rules during April to July 2011.
Although the CFTC has not announced a rulemaking schedule, its rulemaking requirements with respect to swaps are analogous to the SEC’s (but apply to energy, agricultural, and other non-security-based swaps) and are generally subject to a July 16, 2011 rulemaking deadline. As such, the SEC schedule may provide a good indication of what kind of rulemaking schedule to expect from the CFTC.