H.R. 1341 — what changed
Financial Competitive Act of 2013
From Reported in House to Engrossed in House. 1 section amended between Reported in House and Engrossed in House.
Sec. 2 Study of implementation of basel iii capital requirements related to derivatives exposures
Study— The Financial Stability Oversight Council shall conduct a study of the likely effects that differences between the United States and other jurisdictions in implementing the derivatives credit valuation adjustment (in this section referred to as “CVA”) capital requirement would have on—
United States financial institutions that conduct derivatives transactions and participate in derivatives markets;
end users of derivatives; and
international derivatives markets.
Content— The study required by subsection (a) shall include—
an assessment of—
the extent to which there are differences in the approaches that the United States and other jurisdictions are taking regarding implementation of the CVA capital requirement, and the nature of the differences;
the impact that the differences would have on—
United States financial institutions that conduct derivatives transactions and participate in derivatives markets, including their ability to serve end users of derivatives;
pricing and other costs of, and services available to, end users of derivatives in the United States and other jurisdictions; and
the competitiveness of United States financial institutions and United States derivatives markets, including the extent to which differences in the CVA capital requirement could shift derivatives business among jurisdictions; and
the interaction between differing CVA capital requirements and margin rules; and
recommendations regarding steps that the Congress and the Federal financial regulatory agencies that comprise the Financial Stability Oversight Council should take to—
changed
minimize any expected negative effects on United States financial institutions, derivatives markets, and end users; and;users;
changed
encourage greater international consistency in implementation of internationally agreed capital, liquidity, and other prudential standards.; standards; and
ensure that the Financial Stability Oversight Council fulfills its statutory mandate to identify risks and respond to emerging threats to financial stability.
Report— No later than 90 days after the date of the enactment of this Act, the Financial Stability Oversight Council shall submit a written report containing the results of the study to the Chairman and ranking minority member of the Committees on Agriculture and Financial Services of the House of Representatives, and the Chairman and ranking minority member of the Committees on Agriculture, Nutrition, and Forestry, and Banking, Housing, and Urban Affairs of the Senate.