Regulatory Alerts2016-05-06 | 2016-10565Definitions of Portfolio Reconciliation and Material Terms for Purposes of Swap Portfolio Reconciliation
The Commodity Futures Trading Commission amends its regulations to redefine 'material terms' and 'portfolio reconciliation' for swap dealers and major swap participants. The final rule excludes 24 specific data fields from the definition of material terms, thereby relieving counterparties of the burden to reconcile discrepancies in data irrelevant to swap valuation or ongoing obligations. This change streamlines the portfolio reconciliation process while maintaining compliance with recordkeeping and reporting requirements.
Share