CFTC Approves Clear Markets as Fully Registered Swap Execution Facility
- CFTC on Monday formally recognised a new venue as a SEF, reflecting the industry’s growing adaptation to the new rules.
The U.S. Commodity Futures Trading Commission (CFTC) today announced that the Delaware-based Clear Markets North America, Inc. (Clear Markets), has been approved to operate as a fully registered Swap Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term Facility (SEF), according to an official CFTC statement.
Clear Markets, a wholly-owned subsidiary of Clear Markets Holdings, Inc., previously obtained temporary registration status on May 2014. As a next step, the commission undertook a substantive review of company’s application for full registration.
The new world of Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.
The US watchdog has issued recently a series of orders granting registration to a large number of platforms to operate as Swap Execution Facilities, better known as SEFs. However, much of the trading volume in this realm is still concentrated among a few big players. The list includes ICAP, BGC Partners, Tullett Prebon, CME Group, ICE and Bloomberg, with the latter capturing nearly 50 per cent of plain vanilla swap trades last year.
According to the CFTC statement, Clear Markets has demonstrated compliance with the Commodity Exchange Act (CEA) and the commission’s regulations applicable to SEFs, which are required to comply with the core principles in Section 5h of the CEA. Following the new registration order, Clear Markets also shall comply with all representations and submissions made by it in support of its application for registration as a Swap Execution Facility.
SEFs are trading entities that clear OTC products, such as OTC interest rate and credit swaps under the CFTC’s regulatory oversight. The new facility emerged out from the Dodd- Frank Act and Consumer Protection Act of 2010 which deemed NDFs as a financial instrument requiring mandatory clearing, providing greater pre-trade and post-trade transparency to the swaps market.
The U.S. Commodity Futures Trading Commission (CFTC) today announced that the Delaware-based Clear Markets North America, Inc. (Clear Markets), has been approved to operate as a fully registered Swap Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term Facility (SEF), according to an official CFTC statement.
Clear Markets, a wholly-owned subsidiary of Clear Markets Holdings, Inc., previously obtained temporary registration status on May 2014. As a next step, the commission undertook a substantive review of company’s application for full registration.
The new world of Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.
The US watchdog has issued recently a series of orders granting registration to a large number of platforms to operate as Swap Execution Facilities, better known as SEFs. However, much of the trading volume in this realm is still concentrated among a few big players. The list includes ICAP, BGC Partners, Tullett Prebon, CME Group, ICE and Bloomberg, with the latter capturing nearly 50 per cent of plain vanilla swap trades last year.
According to the CFTC statement, Clear Markets has demonstrated compliance with the Commodity Exchange Act (CEA) and the commission’s regulations applicable to SEFs, which are required to comply with the core principles in Section 5h of the CEA. Following the new registration order, Clear Markets also shall comply with all representations and submissions made by it in support of its application for registration as a Swap Execution Facility.
SEFs are trading entities that clear OTC products, such as OTC interest rate and credit swaps under the CFTC’s regulatory oversight. The new facility emerged out from the Dodd- Frank Act and Consumer Protection Act of 2010 which deemed NDFs as a financial instrument requiring mandatory clearing, providing greater pre-trade and post-trade transparency to the swaps market.