Regulation SE, the last of the Title VII Dodd-Frank rulemakings, will become effective on February 13, 2024.

The Securities and Exchange Commission (SEC) has taken a significant step in enhancing the regulatory landscape of the financial markets by adopting new Regulation SE (17 CFR 242.800 through 242.835) under the Securities Exchange Act of 1934 (Exchange Act). The final rules establish a comprehensive framework for the registration and oversight of security-based swap execution facilities (SBSEFs) in compliance with Title VII of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank). As the last of the rulemakings required under Title VII of Dodd-Frank, the much anticipated Regulation SE will become effective on February 13, 2024 (Effective Date).

Regulation SE aligns the SEC’s regime closely with the Commodity Futures Trading Commission’s (CFTC’s) swap execution facility rules, emphasizing transparency, pre-trade pricing, and risk reduction in the security-based swap markets. Regulation SE addresses the Exchange Act’s trade execution requirement for security-based swaps, cross-border application, conflicts of interest mitigation, and fosters consistency with existing Exchange Act rules.

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