Release Number 6521-13

February 25, 2013

CFTC’s Division of Clearing and Risk Announces Revised Compliance Schedule for Required Clearing of iTraxx CDS Indices

Washington, DC – The Division of Clearing and Risk (DCR) of the Commodity Futures Trading Commission today received notice from ICE Clear Credit LLC that it has begun offering customer clearing of the iTraxx CDS indices that are subject to the clearing requirement under Regulation 50.4(b) and section 2(h) of the Commodity Exchange Act (CEA). In accordance with the timeframe previously set forth by the Commission in a final rulemaking, Clearing Requirement Determination Under Section 2(h) of the CEA, 77 FR 74284, 74319-21 (December 13, 2012), the following compliance dates shall apply to the clearing of these iTraxx swaps:

  • Category 1 Entities: Friday, April 26, 2013
  • Category 2 Entities: Thursday, July 25, 2013
  • All other entities: Wednesday, October 23, 2013

Under the compliance schedule for required clearing, Regulation 50.25, Category 1 Entities are swap dealers, security-based swap dealers, major swap participants, major security-based swap participants, and active funds. Category 2 Entities are commodity pools, private funds other than active funds, and persons predominantly engaged in activities that are in the business of banking, or in activities that are financial in nature according to section 4(k) of the Bank Holding Company Act, provided that such participants are not third-party subaccounts. The final compliance date applies to all other entities not electing an exception to required clearing under section 2(h)(7) of the CEA or Regulation 50.50. The final compliance date applies to third-party subaccounts and ERISA plans. As provided for under Regulation 50.25, Category 1 and 2 Entities are required to clear a swap with any entity that desires to clear prior to any later compliance date that otherwise may apply.

The compliance dates set forth above apply only to the required iTraxx CDS indices. The previously established schedule for all other swaps subject to the clearing requirement (CDX CDS indices and all four classes of interest rate swaps) remains unchanged, with a compliance schedule as follows:

  • Category 1 Entities: Monday, March 11, 2013
  • Category 2 Entities: Monday, June 10, 2013
  • All other entities: Monday, September 9, 2013



Last Updated: February 25, 2013