Rounds Statement on Proposed Rule to Facilitate Liquidity in Options Markets
PIERRE—U.S. Sen. Mike Rounds (R-S.D.), a member of the Senate Committee on Banking, Housing and Urban Affairs, today issued the following statement on a proposed rule by the Federal Reserve, Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation that would implement the standardized approach for measuring counterparty credit risk:
“I’m pleased to see that our regulators are taking action to implement the standardized approach for measuring counterparty credit risk, or SA-CCR. This move will accomplish the main goals of S. 3283, The Options Market Stability Act, which I introduced with Senator Duckworth earlier this year. The rule will make the U.S. financial system safer and more competitive throughout the globe. I look forward to working with our regulators to complete this rule expediently in order to strengthen the resiliency of the American financial system."
The rule will help facilitate liquidity in options markets by moving toward a newer, internationally accepted risk-sensitive accounting standard. Earlier this year, Sens. Rounds and Tammy Duckworth (D-Ill.) introduced the Options Markets Stability Act to accomplish the same goal.