FX news: CFTC wants transparency
The senate regulatory bills continue to be formulated but it looks like the matter of clearing-house governance is now being looked at seriously.
Gary Gensler, chairman of the Commodity Futures Trading Commission says: “Open governance would ensure that clearing-houses are not governed by parties that might have a conflict of interest or financial stake in particular transactions. The Securities and Exchange Commission and the CFTC should have clear rule-writing authority to oversee and ensure clearing-house governance to protect against conflicts of interest, promote open and competitive markets and promote the public interest.”
This is likely just a reiteration of the House bill’s limit on ownership of OTC derivative clearing houses by financial firms. But it might also imply concerns regarding clearinghouses being run for profit.