AEGIS Hedging Solutions' (AEGIS) application to form a registered Swap Execution Facility (SEF) has received final approval from the Commodity Futures Trading Commission (CFTC).
AEGIS SEF, a regulated subsidiary of AEGIS, enables compliant, efficient, and transparent execution of hedging transactions for companies managing commodity price risk.
The Dodd-Frank Act introduced regulations to improve transparency in swap transactions, including requirements to execute certain transactions on SEFs. The CFTC clarified, via Staff Advisory 21-19, conditions that require certain Commodity Trading Advisors and Introducing Brokers to execute hedging transactions on SEFs.
AEGIS SEF is the first swap execution facility approved since these clarifications.
In accordance with open access requirements, AEGIS SEF will be available to Commodity Trading Advisors (including AEGIS CTA) and Introducing Brokers.
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