🏦Temporary Exemptive Relief for U.S. Treasury Securities CCAs Explained
Order Granting Temporary Exemptive Relief, Pursuant to Sections 17A and 36(a) of the Securities Exchange Act of 1934, From Certain Aspects of Rule 17ad-22(e)(6)(i) and Section 19(g)(1) of the Securities Exchange Act of 1934
Summary
The SEC has adopted temporary exemptive relief from enforcing compliance with Rule 17ad-22(e)(6)(i) for U.S. Treasury securities clearing agencies until September 30, 2025. This measure aims to facilitate the separation of margin for proprietary versus customer transactions, assisting direct participants in implementing the necessary operational changes. The exemption is intended to reduce market disruption and promote orderly implementation of the new regulations.
Agencies
- Securities and Exchange Commission
Business Impact
$$ - Med
The regulation introduces a temporary exemptive relief from certain compliance requirements for U.S. Treasury securities CCAs until September 30, 2025. This will impact clearing agencies and direct market participants, granting them additional time to implement necessary procedural changes related to margin holding. Business owners in the financial sector should assess their compliance strategies accordingly.