Swaps dealers get an unlikely hero in Barnier
FIRMS using and dealing derivatives face the prospect of regulatory chaos due to the EU and US regimes colliding, EU commissioner Michel Barnier has warned his American counterparts.
A spokesperson for the commissioner said that he has written to US authorities to suggest putting off rules that will hit any firm dealing a certain volume of derivatives in American territory, which could include some energy and commodity traders.
Firms that trade in both regions will be hit by two new major regulatory overhauls this year, with little work having been done on how they will interact.
“Commissioner Barnier has sent letters… encouraging them to delay the swap dealer registration process as regards EU firms until there is legal clarity about the substantive conditions that such registration will entail,” a spokesperson told Reuters.