The final rule would expand to include swaps that were entered into before the enactment of the 2010 Dodd-Frank Act and those that were entered into after the enactment of Dodd-Frank but prior to the previous rule’s compliance date.
Additionally, the new rule requires that all counter-parties that enter into transition swaps are required to keep records of the swaps’ initial terms. Each counter-party must also must keep records related to those transition swaps that are created following the compliance date.
All swaps dealers and other major swaps participants must also keep electronic records unless the original record is paper form. Those non-SD/MSP counter-parties are allowed to keep records in either form, and all records must be kept for at least five years after the termination of the swap.
The final rule will take effect after 60 days following publication in the Federal Register. The compliance date for SDs and MSPs pertaining to interest-rate and credit swaps is within 60 calendar days following publication of the CFTC’s rule that defines a “swap.” Equity, foreign exchange and commodity swaps are required to come under compliance within 90 days after the compliance date for interest-rate and credit swaps.