Search Results for keywords:"liquidity enhancement"

Found 3 results

Search Results: keywords:"liquidity enhancement"

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  • 2025-02288 — Self-Regulatory Organizations; The Depository Trust Company; Notice of No Objection to Advance Notice, as Modified by Amendment No. 1, To Raise Prefunded Liquidity Resources Through the Periodic Issuance and Private Placement of Senior Notes
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    Type:Notice
    Citation:90 FR 9094
    Reading Time:about 24 minutes

    The Depository Trust Company (DTC) submitted a proposal to the Securities and Exchange Commission (SEC) to issue up to $3 billion in senior notes. The goal is to enhance DTC's liquidity by having more cash available in case a participant fails to meet their financial obligations. This idea aims to make DTC less reliant on existing credit resources and better prepared to meet its liquidity needs. The SEC reviewed the plan and concluded that it aligns with financial stability goals and risk management standards, thus posing no objections to the proposal.

    Simple Explanation

    The Depository Trust Company wants to borrow up to $3 billion by selling special notes (called senior notes) to have extra money ready just in case someone can't pay what they owe, and the people in charge at the SEC said they're okay with this plan because it helps keep money safe and stable.

  • 2024-30520 — Self-Regulatory Organizations; Fixed Income Clearing Corporation; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Clearing Fund Maintenance Fee of MBSD and GSD
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    Type:Notice
    Citation:89 FR 104595
    Reading Time:about 11 minutes

    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.

    Simple Explanation

    FICC is changing how they charge a fee for keeping track of money that people store with them. Starting in 2025, they'll look at how much total money is required to be kept safe instead of just cash, and they're making the fee smaller to maybe encourage people to keep more money there, which is supposed to be fair for everybody.

  • 2025-04336 — Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Its Rules Related to the Preferred Market-Maker (“PMM”) Participation Entitlement
    Type:Notice
    Citation:90 FR 12624
    Reading Time:about 5 minutes

    Cboe Exchange, Inc. filed a proposed rule change to amend its rules for Preferred Market-Makers (PMMs) participation entitlement. The changes include a 60/40 entitlement percentage structure for PMMs, changes to how fractional fills are rounded for orders with more than one contract, and ensuring that PMMs receive at least one contract if they have the best price quote. The Securities and Exchange Commission (SEC) has approved the immediate effectiveness of this rule, believing it will enhance liquidity and trading opportunities without significant regulatory issues. Public comments on this proposal are invited before April 8, 2025.

    Simple Explanation

    Cboe Exchange wants to change some rules so special traders, called Preferred Market-Makers, get more chances to trade first. This change is supposed to make trading better, and people can share their thoughts about it until April 8, 2025.