U.S. sets timeline for trading packaged swaps on platforms
WASHINGTON May 1 (Reuters) - The U.S. Commodity Futures Trading Commission said on Thursday a complex type of swaps known as "package transaction" must be traded on regulated platforms in the coming months, pursuant to a phased compliance timeline.
Swaps have started trading on these platforms - known as Swap Execution Facilities - this year as the agency's rules for the $690 trillion global swaps market start coming into effect after the financial crisis.
But the CFTC had given a temporary stay for package transactions - which consist of several types of swaps grouped together in one deal - after the industry said it was not clear how to handle them under the CFTC's rules. (Reporting by Douwe Miedema)