Public Statements & Remarks

Supporting Statement of Chairman Rostin Behnam on the Proposed Order and Request for Comment on the Application for a Capital Comparability Determination for Nonbank Swap Dealers Regulated by the United Kingdom Prudential Regulation Authority

January 24, 2024

I support the Commission’s proposed order and request for comment on an application for a preliminary capital comparability determination on behalf of six nonbank swap dealers that are domiciled in the United Kingdom (UK) and registered with the CFTC.  All six of these UK nonbank SDs are subject to, and comply with, the UK capital and financial reporting rules as implemented by the UK Prudential Regulation Authority, which the Commission has preliminarily determined are comparable to certain capital and financial reporting requirements under the Commodity Exchange Act and the Commission’s regulations, subject to certain conditions.  This preliminary capital comparability determination for these UK nonbank SDs is the fourth proposed order and request for comment to come before the Commission since it adopted its substituted compliance framework for non-U.S. domiciled nonbank swap dealers in July 2020.

I greatly appreciate the work of staff in the Market Participant Division, the Office of the General Counsel, and the Office of International Affairs on this matter.

I look forward to reviewing the public's comments on the proposed rule. The 60-day comment period will begin upon the Commission’s publication of the proposed rule on its website.