Everything we've been hearing from analysts and industry vets indicates that yesterday's signing into law of the Wall Street Reform and Consumer Protection Act is only the beginning of the path to actual financial reform. Now a long, complicated process of rulemaking begins for the regulators, and that could take up to a year. Just how complicated the process will be was made clear yesterday when the Commodity Futures Trading Commission (CFTC) released a rulemaking list for OTC derivatives, based upon provisions in the Act, which contained a whopping 30 categories.
The list of 30 is divided into eight groups: Comprehensive Regulation of Swap Dealers & Major Swap Participants; Clearing; Trading; Data; Particular Products; Enforcement; Position Limits; and Other Title. You can submit comments on the rule-writing areas on the CFTC's website here.
In other CFTC news, the agency announced it will begin publishing a new large trader report, called Traders in Financial Futures (TFF). The TFF report uses the same data that appears in the COT reports, but separates large traders into the following four categories: Dealer/Intermediary; Asset Manager/Institutional; Leveraged Funds; and Other Reportables.