The Treasury Report's Recommendations For Derivatives Regulation

In a previous client alert, available here, we provided an overview of the recent report, the second of four, issued by the U.S. Department of the Treasury ("Treasury") and titled "A Financial System that Creates Economic Opportunities, Capital Markets" (the "Report"). Issued as a response to Presidential Order 13772, "Core Principles for Regulating the United States Financial System," the Report sets out core principles that should, its authors believe, guide the regulation of the U.S. financial system. The Report addressed numerous aspects of the U.S. capital markets, including the equity and debt markets, the Treasury securities market, securitization, financial market utilities, clearinghouses and derivatives.