Commodity Futures Modernization Act of 2000
E618771
The Commodity Futures Modernization Act of 2000 is a U.S. federal law that overhauled the regulation of derivatives markets, notably exempting many over-the-counter derivatives from oversight and shaping the legal framework for modern financial derivatives trading.
Statements (47)
| Predicate | Object |
|---|---|
| instanceOf |
United States federal statute
ⓘ
financial regulation law ⓘ |
| amends |
Commodity Exchange Act
NERFINISHED
ⓘ
federal securities laws of the United States ⓘ |
| appliesTo |
major financial institutions trading derivatives
ⓘ
swap dealers ⓘ |
| codifiedIn |
Title 15 of the United States Code
NERFINISHED
ⓘ
Title 7 of the United States Code NERFINISHED ⓘ |
| containsProvision |
allocation of jurisdiction over security futures to CFTC and SEC
ⓘ
banking and financial institution exemptions for swaps ⓘ exclusion of certain financial derivatives from Commodity Exchange Act ⓘ framework for trading of single-stock futures ⓘ legal certainty for swap agreements ⓘ preemption of certain state gaming and bucket shop laws for derivatives ⓘ treatment of hybrid instruments ⓘ |
| country |
United States of America
ⓘ
surface form:
United States
|
| criticizedFor |
contributing to lack of oversight of credit default swaps
ⓘ
weakening regulation of OTC derivatives prior to the 2007–2008 financial crisis ⓘ |
| effect |
clarified legal status of over-the-counter derivatives
ⓘ
exempted many OTC derivatives from exchange-trading requirements ⓘ facilitated growth of modern financial derivatives trading ⓘ limited CFTC authority over many OTC derivatives ⓘ overhauled regulation of U.S. derivatives markets ⓘ |
| enactedBy | 106th United States Congress NERFINISHED ⓘ |
| historicalContext | pre-dates the Dodd–Frank Wall Street Reform and Consumer Protection Act ⓘ |
| jurisdiction | United States derivatives markets ⓘ |
| legislativeProcess | enacted as part of an omnibus appropriations bill ⓘ |
| legislativeVehicle | Consolidated Appropriations Act, 2001 NERFINISHED ⓘ |
| policyGoal |
promote innovation in financial derivatives
ⓘ
provide legal certainty for OTC derivatives markets ⓘ reduce regulatory overlap between CFTC and SEC ⓘ |
| publicLawNumber | Public Law 106-554 NERFINISHED ⓘ |
| regulatoryAgencyAffected |
Commodity Futures Trading Commission
NERFINISHED
ⓘ
Securities and Exchange Commission NERFINISHED ⓘ |
| relatedConcept |
financial deregulation in the late 1990s and early 2000s
ⓘ
over-the-counter derivatives market ⓘ |
| relatedLegislation | Dodd–Frank Wall Street Reform and Consumer Protection Act NERFINISHED ⓘ |
| shortName | CFMA NERFINISHED ⓘ |
| signedBy | Bill Clinton ⓘ |
| signingDate | 2000-12-21 ⓘ |
| subjectMatter |
credit default swaps
ⓘ
derivatives regulation ⓘ futures markets ⓘ over-the-counter derivatives ⓘ swaps ⓘ |
| title | Commodity Futures Modernization Act of 2000 NERFINISHED ⓘ |
| yearEnacted | 2000 ⓘ |
Referenced by (2)
Full triples — surface form annotated when it differs from this entity's canonical label.