CFTC Chairman J. Christopher Giancarlo outlined his plans for the CFTC in 2018, which include:
- completing rules on de minimis levels for swap dealer registration;
- working with banking regulators to address elements of the supplemental leverage ratio that affect the greater central clearing of derivatives;
- proposing swaps execution facility rules;
- implementing a final position limits rule;
- reconsideration of Regulation AT; and
- continued collaboration with foreign regulators.
Mr. Giancarlo's remarks were delivered at the Futures Industry Association annual meeting in Boca Raton, Florida.
Commentary / Nihal Patel
Mr. Giancarlo's speech is notable in that he added some details to aspects of the CFTC agenda that are well known.
- On the swap dealer de minimis threshold, Mr. Giancarlo indicated that it is a high priority by saying that the CFTC "will complete" rules this year.
- On position limits, Mr. Giancarlo said that DMO staff is working on a revised draft of the rulemaking, but that any final rules should be done only when the CFTC has five commissioners in place. He said that this was so that the adopted rules would "stand the test of time and changes in futures administrations."
- On Regulation AT, Mr. Giancarlo strongly suggested that it is a non-starter in its most recent form, but that the CFTC would explore new rules based on analysis from CFTC staff of the role of algorithmic trading in CFTC-regulated markets.
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