Alert October 02, 2012

Federal Banking Agencies, FCA and FHFA Reopen Comment Period on Proposed Swap Margin and Capital Requirements

The OCC, FRB, FDIC, Farm Credit Administration, and Federal Housing Finance Agency (collectively, the “Agencies”) reopened the comment period on a proposed rule to establish margin and capital requirements for swap dealers, major swap participants, security-based swap dealers, and major security-based swap participants for which one of the Agencies is the prudential regulator.  Although the original comment period closed on July 11, 2011 (after being extended from June 24, 2011), it has been reopened until November 26, 2012, in light of the consultative document on margin requirements for non-centrally-cleared derivatives recently published by the International Organization of Securities Commissions (IOSCO) and the Basel Committee on Banking Supervision.