The US Securities and Exchange Commission has proposed amendments to Rule 3a12-8 under the Securities Exchange Act of 1934 to designate European Union debt obligations as exempted securities solely for futures marketing and trading.
Aligning Futures Oversight Across European Sovereign Debt
The proposed amendments would bring futures contracts on European Union debt obligations under the exclusive jurisdiction of the Commodity Futures Trading Commission. This aligns the regulatory approach for EU sovereign debt with the framework already applied to futures on the debt obligations of individual EU member states currently listed under Rule 3a12-8.
While futures trading would shift to Commodity Futures Trading Commission jurisdiction, the offerings of the underlying European Union debt obligations themselves will remain subject to US federal securities laws. The existing requirements and scope of Rule 3a12-8 for other foreign government obligations remain unchanged.
Publication and Public Comment Process
The proposing release has been published on the SEC website and will be included in the Federal Register. The public comment window will remain open for 60 days following the publication of the proposal in the Federal Register.
