The SEC issued a policy statement on EMIR-authorized central clearing counterparties ("CCPs") seeking to register as, or be exempt from certain requirements applicable to, clearing agencies under SEC requirements.
In the statement, the SEC describes the processes for EU-based CCPs (1) seeking to register as CCPs and (2) requesting exemptions from relevant SEC requirements applicable to clearing agencies. As to registration, the SEC said that EU-based CCPs may use existing materials in their registration applications, such as self-assessments, to illustrate their compliance with EMIR and consistency with similar SEC requirements. As to exemptive requests, the SEC said it considers (i) "the nature" of the CCP's clearing agency activities; (ii) the degree and volume of activity that the CCP aims to carry out in the United States; (iii) the EMIR requirements to which the CCP is subject in its jurisdiction; (iv) the relevance of the EMIR requirements to the determinations the SEC must make under Section 17A(b)(1) of the Exchange Act; and (v) the suitability of the cooperation and communication that exists between the SEC and the relevant European authorities with regard to the relevant regulatory requirements.
The SEC noted that the policy statement is based on its experience regulating EU-based CCPs for security-based swaps, but that the statement was not intended to be limited to such transactions and would also apply to EU-based CCP clearing securities.
The policy will become effective upon publication in the Federal Register.
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