# Forms of margin.
**AGENCY:**
Commodity Futures Trading Commission.
**ACTION:**
Correcting amendments.
**SUMMARY:**
The Commodity Futures Trading Commission (CFTC or Commission) is correcting a final rule published in the *Federal Register* on January 6, 2016. The rule, concerning margin requirements for uncleared swaps for swap dealers and major swap participants, took effect on April 1, 2016. This correction rectifies errors in cross-references in a particular section of the final rule.
**DATES:**
Effective on November 28, 2017.
**FOR FURTHER INFORMATION CONTACT:**
Thomas Smith, Deputy Director, 202-418-5495, *[email protected],* or Mark Bretscher, Attorney-Advisor, 312-596-0529, *[email protected],* Division of Swap Dealer and Intermediary Oversight, Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st Street NW., Washington, DC 20581.
**SUPPLEMENTARY INFORMATION:**
In the *Federal Register* of January 6, 2016 (81 FR 636), the CFTC published final rules adopting new regulations to implement a particular provision of the Commodity Exchange Act (CEA), as added by the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). [^1] This provision requires the Commission to adopt initial and variation margin requirements for certain swap dealers and major swap participants. In implementing the regulations, staff has discovered cross-reference errors in § 23.156 of the regulations. As published, 17 CFR 23.156(a)(3) includes erroneous cross-references to 17 CFR 23.156(a)(1)(iv). Instead, the cross-references should be to 17 CFR 23.156(a)(1)(v). Accordingly, the Commission is making a correcting amendment to 17 CFR 23.156(a)(3) that removes the erroneous cross-references to 17 CFR 23.156(a)(1)(iv) and replaces them with corrected cross-references to 17 CFR 23.156(a)(1)(v).
[^1]*See* Dodd-Frank Wall Street Reform and Consumer Protection Act, Public Law 111-203, 124 Stat. 1376 (2010).
**List of Subjects in 17 CFR Part 23**
Swaps, Swap dealers, Major swap participants, Capital and margin requirements.
Accordingly, 17 CFR part 23 is corrected by making the following correcting amendments:
**PART 23—SWAP DEALERS AND MAJOR SWAP PARTICIPANTS**
**17 CFR Part 23**
1. The authority citation for part 23 continues to read as follows:
**Authority:**
7 U.S.C. 1a, 2, 6, 6a, 6b, 6b-1, 6c, 6p, 6r, 6s, 6t, 9, 9a, 12, 12a, 13b, 13c, 16a, 18, 19, 21.
**17 CFR Part 23**
2. In § 23.156, revise paragraph (a)(3)(i)(B) to read as follows:
§ 23.156
(a) * * *
(3) * * *
(i) * * *
(B) The discounts set forth in the following table:
| | |
| --- | --- |
| Cash in same currency as swap obligation | 0.0 |
| Eligible government and related debt (
central bank, multilateral development bank, GSE securities identified in paragraph (a)(1)(v) of this section): Residual maturity less than one-year | 0.5 |
| Eligible government and related debt (
central bank, multilateral development bank, GSE securities identified in paragraph (a)(1)(v) of this section): Residual maturity between one and five years | 2.0 |
| Eligible government and related debt (
central bank, multilateral development bank, GSE securities identified in paragraph (a)(1)(v) of this section): Residual maturity greater than five years | 4.0 |
| Eligible corporate debt (including eligible GSE debt securities not identified in paragraph (a)(1)(v) of this section): Residual maturity less than one-year | 1.0 |
| Eligible corporate debt (including eligible GSE debt securities not identified in paragraph (a)(1)(v) of this section): Residual maturity between one and five years | 4.0 |
| Eligible corporate debt (including eligible GSE debt securities not identified in paragraph (a)(1)(v) of this section): Residual maturity greater than five years | 8.0 |
| Equities included in S&P 500 or related index | 15.0 |
| Equities included in S&P 1500 Composite or related index but not S&P 500 or related index | 25.0 |
| Gold | 15.0 |
| Additional (additive) haircut on asset in which the currency of the swap obligation differs from that of the collateral asset | 8.0 |
Issued in Washington, DC, on November 21, 2017, by the Commission.
Christopher J. Kirkpatrick,
Secretary of the Commission.
**Note:**
The following appendix will not appear in the Code of Federal Regulations.
**Appendix to Margin Requirements for Uncleared Swaps for Swap Dealers and Major Swap Participants; Correction—Commission Voting Summary**
On this matter, Chairman Giancarlo and Commissioners Quintenz and Behnam voted in the affirmative. No Commissioner voted in the negative.