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Screenshot of a breaking news alert e-mail from Q2 2017
Will allow Integral to offer a regulatory-compliant FX trading platform, delivered as a service.
Forex trading solutions and services provider Integral has announced that it has filed an application with the CFTC to launch a Swap Execution Facility (SEF) under the CFTC’s recently announced SEF rules issued pursuant to the U.S. Dodd-Frank Act.
Pending approval, Integral will be offering a regulatory-compliant FX trading platform. This will include all necessary connections to liquidity providers, clearing houses, SDRs, etc.
The CFTC recently (July 31) approved Bloomberg as the first SEF, after Bloomberg was first to submit its SEF application to the CFTC on June 4th, with SEF trading to actually begin on October 2.
SEFs are the new trading venues mandated under the Dodd-Frank financial reform act. According to the Financial Times, trading derivatives on transparent platforms, with counterparty risk dealt with via a clearing house, was a key aim of regulators in the wake of the financial crisis. The creation of SEFs is seen as part of reforming the over-the-counter derivatives market, without forcing activity onto exchanges.
The CFTC is expected shortly to approve other SEF applications, including Tradeweb, MarketAxess, State Street and interdealer broker GFI.
For the Integral press release on its SEF application click here.