FINRA filed with the SEC a proposed rule change to amend FINRA Rules 4210(g) ("Margin Requirements - Portfolio Margin") and 4240("Margin Requirements for Credit Default Swaps") to permit members to elect to comply with portfolio margining programs that are approved by either the CFTC or the SEC, subject to specified requirements. In addition, the proposed rule change makes other revisions to FINRA Rule 4240 to clarify and update the rule. The key text of the proposed rule change is as follows: ".02 Portfolio Margin Accounts Holding CDS. The margin requirements set forth in this Rule shall not

A New SRO rule proposal has been announced by the SEC. Click on the link to view the SEC's notice of the proposal: NASDAQ: Notice of Designation of a Longer Period for Commission Action on Proposed Rule Change, as Modified by Amendment Nos. 1 and 3 Thereto, to Establish the Market Quality Program

The SEC has announced that Ethiopis Tafara, Director of the SEC's Office of International Affairs, will leave the agency at the end of next month after 13 years of public service. The SEC's Office of International Affairs ("OIA") advises the Commission on cross-border enforcement and regulatory matters, and engages in regulatory dialogues with authorities outside the U.S. Mr. Tafara joined the SEC staff in 2000 and has served as Director of OIA for the past 10 years. Lofchie Comment: Mr. Tafara has long been a central figure in the discussion of issues of cross-border financial regulation. In

The U.S. Department of the Treasury announced that it has signed a non-reciprocal bilateral agreement with Switzerland to facilitate the implementation of FATCA. Switzerland is one of eight countries that have signed or initialed an intergovernmental agreement ("IGA") which helps to facilitate the effective and efficient implementation of FATCA. As anticipated, the Swiss IGA is based on the Model 2 Form of Agreement that was published by Treasury in November, with Swiss financial institutions reporting financial information directly to the U.S. The Swiss IGA is the first Model 2 Form IGA that

FINRA has issued a new Investor Alert called Duration - What an Interest Rate Hike Could Do to Your Bond Portfolio. This Alert helps investors understand the importance of duration risk. "With interest rates hovering near all-time lows, investors should make sure they know their duration numbers. Whether investors own individual bonds or bond funds, they need to understand that outstanding bonds with a low interest rate and high duration may experience significant price drops if interest rates rise," said Gerri Walsh, FINRA Vice President of Investor Education. View Alert in full here (links