The US CFTC plans to revise a number of regulatory rules to strengthen conflict of interest management among affiliated institutions

On August 2, the U.S. Commodity Futures Trading Commission (CFTC) issued a Notice of Proposed Rules (NPRM) to publicly solicit opinions on amending Parts 37, 38, 39 and Articles 1.52 and 1.55 of the CFTC Regulations. The comment collection period is 60 days after the publication of the Federal Register. This amendment aims to address the growing number of connections between regulated institutions such as derivatives clearing houses (DCOs), designated contract markets (DCMs), swap execution facilities (SEFs), futures commission dealers (FCMs) and market makers. Potential conflicts of interest. CFTC Chairman Michael S.Selig said the new rules will establish a principle-based regulatory framework for vertically integrated market structures that support innovation in the U.S. derivatives market while maintaining market integrity.