The Securities and Exchange Commission and Commodity Futures Trading Commission on Thursday issued a joint request for public comment on aligning their respective swap data reporting frameworks.
The agencies are seeking feedback on harmonization across frameworks, transparency, data quality, operational complexity, standardized identifiers and reference data, and implementation considerations. The comment period will remain open for 60 days after publication in the Federal Register.
The effort targets long-standing issues for firms that report into both regimes. The SEC’s Regulation SBSR and the CFTC’s swap reporting rules diverge on data fields, technical validations, reporting timelines and reporting-party determinations, according to a comment letter filed by ICE Trade Vault as part of the consultation. Non-harmonized rules require “significant systems related development, resources and expense,” ICE Trade Vault said.
“Extensive data collection, if not appropriately calibrated, can hinder, rather than enhance, understanding and accountability,” said SEC Chairman Paul S. Atkins.
CFTC Chairman Michael S. Selig said the agencies are working to “cut red tape and reduce costs, while still collecting the data we need to conduct our market oversight responsibilities.”
Both agencies said the goal is to reduce operational complexity while preserving their distinct statutory mandates under the Dodd-Frank Act.
