On December 9th, SFA submitted comments to the Federal Reserve, Farm Credit Administration, Federal Deposit Insurance Corporation, Federal Housing Finance Agency, and Office of the Comptroller of the Currency on their proposed changes to uncleared swap margin rules. The proposal amends the current agencies’ regulations on uncleared and security-based swaps by permitting certain entities to amend legacy swap contracts to adopt follow-on amendments related to replacing an interbank offered rate (IBOR) or other discontinued rate without converting the legacy swap into a swap subject to the Swap Margin Rule. SFA expressed support for these changes because the proposals would help ensure a safe transition away from LIBOR and help “avoid the risk of future financial instability.” If you are interested in joining the LIBOR Task Force or the Derivatives in Securitization Task Force, please contact the SFA Team.

Read SFA’s comments here.