Financial Stability Oversight Council Begins the Process of Designating Systemically Important Financial Market Utilities

December 02, 2010
The Financial Stability Oversight Council has issued an advance notice of proposed rulemaking seeking comments on how it should identify systemically important financial market utilities (“FMUs”) under Title VIII of the Dodd-Frank Act. A systemically important FMU will become subject to a range of regulatory oversight and be required to provide prior notice of proposed changes to its rules, procedures or operations that could materially affect the nature, level or risks associated with the FMU. Regulatory oversight ultimately will extend to financial institutions that engage in significant levels of transactions with a systemically important FMU.