Search Results for keywords:"Fixed Income Clearing Corporation"

The Securities and Exchange Commission (SEC) is considering a proposed rule change by the Fixed Income Clearing Corporation (FICC) to introduce a "Volatility Event Charge." This charge is designed to help FICC manage and reduce its risk during periods of significant market upheaval, like major elections or economic announcements, that could cause large market movements. The proposed change is aimed at ensuring FICC has enough financial resources to protect against potential losses if a clearing member defaults during such volatile times. The SEC invites public comments on this proposal, which would add more stability to financial markets by proactively managing associated risks.

The Securities and Exchange Commission approved new rule changes proposed by the National Securities Clearing Corporation, The Depository Trust Company, and Fixed Income Clearing Corporation. These changes revolve around enhancing governance and reducing conflicts of interest within these organizations, ensuring directors and senior managers adhere to specified regulations. The approved framework includes mechanisms to manage conflicts of interest, risks from service providers, and to actively involve stakeholders in key decision-making processes related to risk management and operations. Ultimately, these changes aim to improve transparency and accountability in the operations of these financial clearing agencies.

The Securities and Exchange Commission is considering a proposed rule change by the Fixed Income Clearing Corporation (FICC) to introduce an Intraday Mark-to-Market Charge for its Government Securities Division. This change aims to manage risks that occur when the value of a member's portfolio changes significantly during the day. If these changes reach a certain threshold, FICC will charge members to cover the potential risks, helping to safeguard the financial system. Public comments on this proposal are being solicited before any decision is made.

In a recent decision, the Securities and Exchange Commission (SEC) approved a rule change for the Fixed Income Clearing Corporation (FICC). This amendment allows FICC to manage same-day settling repurchase agreements (repos), improving the efficiency of securities transactions by centralizing settlement processes. The change includes two new services: the Same-Day Settling Service, which allows for both legs of repos to settle under FICC's watch, reducing the risk of settlement failures, and the Pair-Off Service, which helps settle failed trades on the same day they occur, decreasing overnight risk for members. This update aims to streamline the settlement of securities transactions and minimize risks associated with settlements.

The Securities and Exchange Commission (SEC) is reviewing a proposed rule change by the Fixed Income Clearing Corporation (FICC) regarding the calculation of the "Minimum Margin Amount" for its Mortgage-Backed Securities Division (MBSD). This new calculation aims to ensure adequate collection of margin from members, especially during times of market volatility, by adjusting based on historical price movements. The SEC is seeking comments from the public to help decide whether to approve or disapprove the proposed rule change. The proceedings are being held to consider the legal and policy implications of the change and its alignment with existing financial regulations.

The Securities and Exchange Commission announced a proposed rule change by the Fixed Income Clearing Corporation (FICC), which involves updates to its Operational Risk Management Framework. This change aims to reflect recent name changes of groups within the structure and to incorporate nonmaterial edits for clarity. The modifications do not seem to affect competition and intend to enhance the framework's clarity and comprehensiveness. The SEC is seeking comments from the public on the proposed updates by January 16, 2025.

The Fixed Income Clearing Corporation (FICC) has proposed changes to the way it calculates Maintenance Fees for its Mortgage-Backed Securities Division (MBSD) and Government Securities Division (GSD). Starting January 1, 2025, instead of charging a fee only on the cash deposit balance, FICC will calculate the fee based on the total Required Fund Deposit while lowering the fee rate from 0.25% to 0.085%. This change aims to encourage members to deposit more cash by removing disincentives, potentially enhancing FICC's liquidity. Although the change is intended to be revenue neutral for FICC, different members might see increases or decreases in their fees depending on their deposit sizes and risk profiles.

The Fixed Income Clearing Corporation (FICC) has proposed rule changes to update its regulations concerning voluntary withdrawal provisions for certain members, specifically those who have not used its services for at least six months and with whom the FICC has had no recent contact. This proposal was submitted to the Securities and Exchange Commission (SEC) on January 13, 2025, and is considered effective immediately under specified conditions, as it does not significantly impact investor protection or competition. The SEC is now open to public comments on this amendment, and feedback can be submitted via their online platform or through mail by February 19, 2025.

The Fixed Income Clearing Corporation (FICC) has submitted a proposed rule change to the Securities and Exchange Commission (SEC) concerning the GSD Rulebook. This proposal aims to revise how Funds-Only Settlement Amount (FOS) payments are handled, clarifying their designation as a settlement, not a collateral payment, and detailing when payments are final. Additionally, FICC plans to remove its right to offset a FOS payment against any additional funds required from a Netting Member. The SEC invites public comments on whether this rule change aligns with the Securities Exchange Act of 1934.

The Fixed Income Clearing Corporation (FICC) has submitted a proposed rule change to the Securities and Exchange Commission (SEC) to amend its Clearing Agency Investment Policy. The changes are mainly focused on how FICC handles and invests funds for various types of transactions, ensuring that security and liquidity are prioritized. Key amendments include separating and clearly organizing different types of margin deposits and ensuring that they are held independently, particularly for transactions involving indirect participants. These changes are meant to comply with specific SEC rules and enhance the safeguarding of these investments, with the proposal expected to be implemented by March 31, 2025.