On May 2, the Commodity Futures Trading Commission approved an amendment to CFTC Regulation 23.500(i) (Amendment) that modifies the definition of “portfolio reconciliation” such that swap dealers and major swap participants only need to exchange the “material terms” of their swaps with their counterparties. In addition, the Amendment revises the definition of “material terms” in CFTC Regulation 23.500(g) by limiting it to the minimum primary economic terms of a swap and specifically excluding certain data elements, including: (1) an indication that the swap will be allocated; (2) block trade indicator; (3) clearing venue; (4) an indication of whether the reporting party is a major swap participant with respect to the swap; (5) an indication that the swap will be allocated; and (6) execution timestamp.

To see the final rule, click here.