In a keynote address at the New Risk in Energy 2014 Conference, CFTC Commissioner Scott O'Malia discussed how Dodd-Frank rulemakings impact the energy sector. Commissioner O'Malia's speech focused on, among others, the following key areas: the importance of technological innovation as the CFTC moves to implement and enforce its new rules; the need to limit the costs imposed on end users; and the "futurization" of swaps and the negative impact that has on end users' hedging activity. Commissioner O'Malia began by discussing the CFTC's technological shortcomings. He urged the CFTC to adopt a

The Board of Governors of the Federal Reserve System ("FRB") announced that it intends to give banking entities two additional one-year extensions to conform their ownership interests in and sponsorship of certain collateralized loan obligations ("CLOs") covered by the Volcker Rule. The FRB previously extended the conformance period for all activities and investment by one year, to July 21, 2015. To ensure effective compliance, the FRB stated that it intends to grant banking entities two additional one-year extensions, which together would extend the conformance period until July 21, 2017

Futures Industry Association ("FIA") President Walt Lukken delivered a speech at the SIFMA Compliance and Legal Seminar discussing the five trends that he believes are affecting the financial services industry and how to proceed with regulation pragmatically. The Era of Regulatory Cooperation: Since the passage of Dodd-Frank, both the SEC and CFTC have faced a tidal wave of regulatory change in attempting to finalize rule writing. When viewing this in the context of static and tightening budgets and the increasing globalization of the markets, it is clear that "regulatory compliance is going

The CFTC Division of Market Oversight issued the results of a rule enforcement review of OneChicago, LLC ("OneChicago"), stating that it found specific areas where OneChicago should improve its trade practice program. The DMO recommended, among other measures, that OneChicago: take steps to ensure that its compliance surveillance department is staffed adequately to meet OneChicago's self-regulatory responsibilities; and increase in a significant way the frequency and number of spot checks of the exchange of futures for physical and block transactions that it conducts annually. The DMO had no

The CFTC Division of Swap Dealer and Intermediary Oversight ("DSIO") issued an extension of time-limited no-action relief to futures commission merchants ("FCMs") which will expire on June 30, 2014. On November 14, 2013, the CFTC adopted amendments to Rule 30.7 ("Treatment of Foreign Futures or Foreign Options Secured Amount") ("Customer Protection Rule"), which listed certain conditions under which an FCM can accept a single payment from a customer for deposit to the customer's CEA Section 4d(a)(2) segregation account and, as applicable, Part 30 secured account and cleared swaps account. In