Financial Services Bulletin: New CFTC Rules, Proposed OCC Rules, and Public Input for an SEC Study


SEC Seeks Public Comment for Financial Literacy and Investor Disclosure Study

On Wednesday, January 18, 2012, the Securities and Exchange Commission (the "SEC") published a request for public comment on financial literacy and investor disclosure issues that it is studying as part of a review mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act").  Section 917 of the Dodd-Frank Act directs the SEC to conduct a study of retail investors’ financial literacy and submit its findings to Congress by July 21, 2012.  The SEC is using qualitative and quantitative research, including investor testing, to help inform the study.  The SEC is seeking public comment on financial literacy and investor disclosure issues to supplement its research.

Read the SEC press release

CFTC Adopts New Rules on Registration of Swap Dealers and Major Swap Participants

On Thursday, January 19, 2012, the Commodity Futures Trading Commission (the "CFTC") adopted regulations under the Commodity Exchange Act (the "CEA") as amended by Title VII of the Dodd-Frank Act.  Pursuant to Section 4s of the CEA, the regulations establish the process for the registration of swap dealers and major swap participants and require such entities to become and remain members of a registered futures association.  The CFTC is also adopting regulations that define an "associated person" of a swap dealer or major swap participant as a natural person.  Further, the regulations prohibit a swap dealer or major swap participant from allowing an associated person who is statutorily disqualified from registration to effect or be involved in effecting swaps on behalf of the dealer or participant.

Read the CFTC rule

OCC Proposes Annual Stress Testing Rules

On Tuesday, January 24, 2012, the Office of the Comptroller of the Currency announced it is seeking comment on a notice of proposed rulemaking implementing Section 165(i)(2) of the Dodd-Frank Act.  Section 165(i)(2) requires certain companies to conduct annual stress tests pursuant to regulations prescribed by their respective primary financial regulatory agencies.  This proposed rule would require national banks and Federal savings associations with total consolidated assets of more than $10 billion to conduct an annual stress test as prescribed by the proposed rule.  In addition to the annual stress test requirement, such institutions would be subject to certain reporting and disclosure requirements.

Read the OCC press release

© 2012 Perkins Coie LLP