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Regulation

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  • A recent proposed rule by the Securities and Exchange Commission implementing shareholder voting procedures on executive compensation packages will largely exclude lower-level employee bonuses, including derivative traders who on occasion make more than their executive bosses, according to lawyers in New York.
  • The Commodity Futures Trading Commission may have gotten ahead of itself in the race to implement the Dodd-Frank Act. That’s the view some attorneys, who point to the postponements of two planned rule votes by Chairman Gary Gensler. The latest was postponement of a rule on position limits yesterday morning.
  • The South Korean Financial Services Commission plans to enhance regulation on some aspects of over-the-counter and listed derivatives next year, including margin requirements, according to its recently-released 2011 Financial Policy Agenda.
  • Mandating daily portfolio reconciliation on swaps between financial entities would not raise costs for swap dealers and major swap participants, according to staff members from the Commodity Futures Trading Commission.
  • The International Accounting Standards Board is considering revamping how to account for changes in the liability of put options on shares held by non-controlling interest shareholders.
  • A proposed Hong Kong law that would define structured products as public offers rather than private placements is drawing cries that it would stifle growth in the market.