Financial holding companies with less than $10 billion in assets would be exempt from clearing requirements on certain swaps under a new rule recently proposed by the Commodity Futures Trading Commission (CFTC).
The rule would formalize clearing cost relief for bank holding companies and savings and loan holding companies provided via a 2016 CFTC no-action letter, responding to advocacy by the American Bankers Association.
Read on to learn more details about what the rule would mean for smaller financial holding companies if finalized.