CFTC Adopts Final Swap Recordkeeping And Reporting Rules

On December 20, 2011, the Commodity Futures Trading Commission (CFTC) adopted its final swap recordkeeping and reporting rules under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). These rules are designed to increase transparency in the over-the-counter derivatives markets, both to regulators and to the public.

In general, the final rules impose fewer requirements on funds and other buy-side derivatives users than were contemplated by the rules that were proposed in December 2010, although such entities will need to comply with certain new requirements, including recordkeeping requirements and, in certain limited circumstances described below, reporting requirements. These rules could also impact the buy-side indirectly in several ways. Access to information regarding derivatives transactions may give the CFTC additional tools to enforce the new CFTC antifraud rules adopted under the Dodd-Frank Act. Public availability of data