Fed Unveils Risk-Control Rules On Financial Market Utilities

Law360, New York (July 30, 2012, 4:11 PM EDT) -- The Federal Reserve Board on Monday finalized risk management standards authorized by the Dodd-Frank Act that will apply to systemically important organizations that guide trillions of dollars' worth of transactions around the U.S. financial system each day.

Regulations will take effect Sept. 14 and apply to financial market utilities, which are entities involved in the transferring, clearing and settling of payments and securities among financial institutions.

According to the Fed, some industry observers warned that the increased supervision would bruise the bottom lines of utilities, which...
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