Wetjen Advocates Legal Advice Before Interim Expiration

The Commodity Futures Trading Commission’s interim relief for cross-border swaps is due to expire on July 12th, but in a speech at a London Futures Industry Associated expo, CFTC Commissioner Mark Wetjen made it clear he thinks the CFTC should provide legal advice and assurance until that point.

The approach Mark Wetjen advocated for is purportedly to ease the transition into the time after the relief expires. Furthermore, by including coordination with internal and international regulatory bodies, firms could adapt to the new compliance model before the deadline. Wetjen echoed the concerns many have had about the regulatory policy, and mentioned that the cross-border guidance must be ‘clear and workable.’

In the address, Wetjen outlined three very clear objectives that he hoped to achieve with this relief and guidance. The first was to protect the US taxpayer and financial systems, and cited the mobility of risk associated with derivatives and the need for global regulation to monitor this mobility. The second objective is to protect the US financial system but also not stifling competition. Lastly, Wetjen hopes that this period of transition will ensure the policy is unambiguous, and gives firms a reasonable time period for compliance.

With the current relief package expiring July 12, Wetjen also hoped to have final guidelines released before the deadline, and open it up for comment.

Share this post

Share on facebook
Share on twitter
Share on linkedin
Share on pinterest
Share on print
Share on email

Stay On Top Of The Debt Relief Industry's Regulatory Landscape

On November 6-7, 2022, Shipkevich PLLC will be hosting a Regulatory Workshop in Costa Mesa, California focusing on the fundamental regulatory issues facing debt relief professionals and how they can adapt.