Alert July 05, 2011

SEC Issues Temporary Exemption from Registration Requirements for Entities Providing Certain Clearing Services for Security-Based Swaps

The SEC issued an order pursuant to Section 36 of the Securities Exchange Act of 1934 (the “1934 Act”) granting a temporary, conditional exemption from the clearing agency registration requirements under Section 17A(b) of the 1934 Act for entities providing certain services for security-based swaps. This exemption will be effective until the compliance date for the final rules relating to the registration of clearing agencies that clear security-based swaps pursuant to Sections 17A(i) and (j) of the 1934 Act.