📊Proposed Changes to Rule 928NYP Enhancing Trading Risk Controls
Self-Regulatory Organizations; NYSE American LLC; Notice of Filing and Immediate Effectiveness of Proposed Change To Amend Rule 928NYP
Summary
The SEC has announced a proposed change to Rule 928NYP, allowing trading firms to implement "Gross Risk Credit Limits" as an optional pre-trade risk control. This proposal aims to enhance risk management practices and assist firms in better managing their financial exposures, thereby contributing to the overall stability of the trading market.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed amendment to Rule 928NYP introduces "Gross Risk Credit Limits," enhancing pre-trade risk controls for trading firms. This change impacts financial risk management and compliance requirements, directly affecting how firms manage their financial exposure to trading risks. Consequently, firms must adapt their internal systems to integrate these new practices to comply with SEC regulations.