CFTC Commissioner Rostin Behnam affirmed that he will work to rebuild trust between consumers and the financial industry by (i) highlighting the importance of reference rates to consumers and (ii) facilitating a bipartisan conversation to resolve matters related to the derivatives markets.

In remarks at the Bipartisan Policy Center, Mr. Behnam pointed to the recently established Interest Rate Benchmark Reform Subcommittee ("Subcommittee") as a positive development. The Subcommittee will provide reports to the Market Risk Advisory Committee about ongoing efforts to transition U.S. dollar derivatives and contracts to the secured financing overnight rate (SOFR), Mr. Behnam said. He noted that his goal is to use the Subcommittee to complement the work of the Alternative Reference Rates Committee by (i) identifying risks for financial markets and American consumers and (ii) proposing solutions in the derivatives space.

Mr. Behnam urged market participants, regulators and end users to leverage all available resources to "restore transparency, credibility, and . . . accuracy," and to help ensure that reference rates reflect fair borrowing costs.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.