SEC, CFTC Seek Public Input on Data Reporting Frameworks for Security-Based Swap and Swap Markets

The Securities and Exchange Commission and Commodity Futures Trading Commission today issued a joint request for public comment on potential opportunities to harmonize, modernize, and streamline data reporting requirements in their regulation of the security-based swap and swap markets, respectively.

"Extensive data collection, if not appropriately calibrated, can hinder, rather than enhance, understanding and accountability," said SEC Chairman Paul S. Atkins. "Working closely with the CFTC, we can ensure that we are collecting the data necessary to meet statutory objectives under a harmonized reporting regime. I welcome feedback on how we can improve our security-based swap data reporting regime in a manner that protects the integrity of the information and lowers costs."

"I'm proud to be working alongside SEC Chairman Atkins to streamline and harmonize swap data reporting for registrants in accordance with our ongoing efforts to foster interagency cooperation," said CFTC Chairman Michael S. Selig. "I look forward to hearing from market participants about the ways we can cut red tape and reduce costs, while still collecting the data we need to conduct our market oversight responsibilities."

The request for comment is intended to assist the agencies in evaluating whether changes to the design, scope, and structure of security-based swap and swap data reporting requirements would lead to greater alignment between their respective reporting frameworks. The SEC and CFTC seek input to enhance market transparency, reduce unnecessary operational complexity, promote data quality, and improve regulatory oversight while preserving the distinct statutory mandates of each agency under the Dodd-Frank Act.

The joint request for comment seeks input on the following topics:

• Harmonization across frameworks
• Transparency and data quality
• Operational complexity
• Standardized identifiers and reference data
• Implementation considerations

The SEC and CFTC encourage the public to provide input on the operational, technological, and policy implications of these topics identified in the agencies' request for comment. The public comment period will remain open for 60 days following publication of the request for comment in the Federal Register.