The Commodity Futures Trading Commission issued for public comment a swaps report on Wednesday that, when finalized, will allow the public an overview of the swaps market.
The initiative, which developed from the 2010 Dodd-Frank Act, will provide a comprehensive overview of the risks, activities and size of the swaps market. Dodd-Frank mandates that the CFTC publish a report on the swaps market on a semiannual and annual basis, though the agency has chosen to publish the reports on a weekly basis.
The enhanced transparency will allow the American public, as well as market participants, the opportunity to gain a broader understanding of the risks and developments in the swaps industry.
“For years, the public has benefited from the futures market data we have published in our Commitment of Traders reports,” Gary Gensler, the chairman of the CFTC, said. “Our goal is to provide similar transparency to the public for the swaps market. The proposed…Report will build upon the increased transparency reforms by aggregating swaps market data and presenting it on a regular basis.”
Andrei Kirilenko, the chief economist at the CFTC, said that the swaps market has grown significantly since the Commitments of Traders report was first published in 1962, adding that the report will provide “similar or better coverage than what [market participants and the public] are accustomed to seeing in the futures and options markets.”