2026-22272NoticeWallet

Swap Dealers Get a Bigger Sandbox, But Only If

Published Date: 11/2/2026

Notice

Summary

The SEC is thinking about doubling the limit for certain swap dealers’ activities from $50 billion to $100 billion. This change affects security-based swap dealers who also register as swap dealers but have smaller swap businesses. If approved, it could make compliance easier and more flexible, and the SEC wants your feedback before deciding.

Analyzed Economic Effects

4 provisions identified: 3 benefits, 0 costs, 1 mixed.

Possible Raise of ACM Threshold to $100B

The SEC is considering raising the maximum fixed-dollar threshold in Rule 18a-10 from $50,000,000,000 to $100,000,000,000 for security-based swap dealers (SBSDs) that are also registered as swap dealers. The Commission published this notice on October 28, 2026 and is soliciting comments through December 2, 2026 about whether to make that change.

Less Duplicate Compliance for Eligible Firms

If the maximum fixed-dollar amount is raised to $100,000,000,000, firms eligible for Rule 18a-10 could avoid duplicative capital, margin, and segregation calculations under both SEC and CFTC regimes. The notice states that such relief would spare firms the cost and inefficiency of maintaining duplicate calculations and reduce burdens on the firms and the Commission.

Potential Small Market Effect on SBS Markets

The SEC and the requester (Mizuho Capital Markets LLC) state that raising the threshold to $100,000,000,000 would likely have only a small impact on the security-based swap (SBS) market and broader securities markets. The Commission is asking commenters to explain how significant SBSDs using the ACM could be to the SBS market if the threshold is increased.

Who Can Use the Alternative Compliance Mechanism

To use Rule 18a-10's alternative compliance mechanism, a firm must be registered as a security-based swap dealer (SBSD) under the Exchange Act, registered as a swap dealer under the Commodity Exchange Act, not be registered as a broker or dealer under the Exchange Act, and have aggregate gross notional outstanding SBS positions that do not exceed the lesser of the maximum fixed-dollar amount or 10% of the firm's combined SBS and swap positions. The current maximum fixed-dollar amount is $50,000,000,000 but the SEC is considering changing it to $100,000,000,000.

Personalized for You

How does this regulation affect your finances?

Personalize government policy and PRIA will tell you what this federal register document means for your household, plus every other regulation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Key Dates

Published Date
11/2/2026

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
Source: View HTML

Related Federal Register Documents

Previous / Next Documents

Back to Federal Register