European groups fear derivatives clampdown

The European Commission has adopted a Communication on the 20 October 2009 for ensuring efficient, safe and sound derivatives markets.

The Communication sets out future policy actions to increase transparency of the derivatives market, reduce counterparty and operational risk in trading and enhance market integrity and oversight. They follow the stakeholder consultation launched with the Communication in July 2009 ( IP/09/1083 ) and the public hearing in September 2009.

The Commission will come forward with legislative proposals in 2010. These proposals will be in line with the G20 Pittsburgh statement and will be accompanied by a thorough impact assessment. In order to avoid any risk of regulatory arbitrage and to ensure a global consistency of policy approaches, the Commission stands ready to work with authorities around the world when finalising the proposals.

European Commission: Press Release: IP/09/1546: Financial services: Commission sets out future actions to strengthen the safety of derivatives markets http://europa.eu/rapid/pressReleasesAction.do?reference=IP/09/1546&format=DOC&aged=0&language=EN&guiLanguage=en

Wikipedia: Derivatives market http://en.wikipedia.org/wiki/Derivatives_market

EurActiv, 20.10.09: Brussels to clamp down on derivatives market http://www.euractiv.com/en/financial-services/brussels-clamp-derivatives-market/article-186548

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