MFA Blog

CFTC Expected to Approve MAT Filings But Leadership Uncertainty Could Affect Initial Period of Mandatory Trading

Posted on January 13, 2014

The Commodity Futures Trading Commission is expected to approve all “made available to trade” (MAT) filings for swap execution facilities.  But, according to a recent article from The Trade, “uncertainty around leadership could affect the initial period of mandatory trading on the new platforms.”

Beginning next month, mandatory trading on SEFs is expected after a 30-day grace period from the CFTC’s ruling on MAT filings.  Ron Steinfeld, chief compliance officer of MarketAxess, told The Trade that all signs suggested the CFTC would green light all credit default swaps MAT applications, which have been submitted from his firm and others.  With Acting Chair Mark Wetjen taking leadership of the CFTC until the confirmation of Gary Gensler’s successor, the Commission faces uncertainty at the top during this roll-out period with SEFs.

“There’s a concern the changes to CFTC leadership will have an impact on SEFs, but at the moment we just don’t know what the outcome will be,” Steinfeld told The Trade. “There’s still a lot of questions and the biggest one is when are we going to see new commissioners at the Commission?”

Learn more about the MAT filings and related issues online from The Trade.