Core differences between national bankruptcy regimes are adding to a litany of headaches for derivatives regulators and market participants looking to harmonise a new swaps regulatory framework across jurisdictional boundaries. Two weeks ago, at the CFTC's Global Markets Advisory Committee meeting, market participants lamented the divisive nature of bankruptcy provisions and regulators confirmed the fact that the legal differences are holding the CFTC back from establishing a substituted compliance framework for non-US clearing houses. "We are asking people to provide formal opinions [on the issue], but in my experience getting people to give opinions as opposed to memoranda on bankruptcy is like pulling teeth without anaesthesia," Robert Wasserman, chief counsel at the CFTC's division of clearing and risk, said at the GMAC meeting.
展开▼
