Monday, July 18, 2011
The Financial Stability Oversight Council (the Council) issued its final rule, Authority to Designate Financial Market Utilities as Systemically Important, which, under Section 804 of the Dodd-Frank Act, provides the Council the authority to designate a financial market utility (“FMU”) as "systemically important." This final rule describes the criteria that will inform, and the processes and procedures established under the DFA, for the Council’s designation of FMUs as systemically important. designation of FMUs.
The Council expects to address the designation of payment, clearing, or settlement activities as systemically important in a separate rulemaking.