On May 28, the Systemic Risk Council (SRC) filed a comment letter to the Securities and Exchange Commission (SEC) about the essential role that Central Clearing Counterparties (Clearinghouses or CCPs) play in our financial markets.
The letter notes that it is critical that CCPs have robust capital/loss absorbency and margin protections, as well as effective regulatory oversight and stress testing. It is also important that their primary regulators, the SEC and CFTC, have and allocate the resources needed to adequately oversee, and police, these large, complex institutions.
Read the full letter below:
Final SRC Ltr to SEC re CCPs 5-27-2014