US equities regulator has joined debate over the regulation of non-US firms
US banks are set to face new limits on security-based swaps
transactions conducted by their foreign branches following a
plan approved by the US Securities Exchange Commission (SEC) on
The agency plans to extend the reach of the US Dodd Frank
Act by dragging the cross-border security-based swaps
operations of JP Morgan, Goldman Sachs and other banks into the
The rules will also explain when a cross-border transaction
by a foreign affiliate must count toward the requirement to
register as a swap dealer or participant.
"The recent financial crisis is replete with examples of
firms rescuing their affiliates. Firms do not jettison them off
to fend for themselves in times of crisis; they bail them out,"
said Kara Stein, commissioner of the SEC.
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