# 2026-22851: A New Safety Net Proposed for Government Securities Trading

2026-22851, Self-Regulatory Organizations; Fixed Income Clearing Corporation; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change, as Modified by Partial Amendment No. 1, To Establish a Guaranty Fund at the Government Securities Division, is a Federal Register notice from Securities and Exchange Commission published 2026-11-10; PRIA reads it as touching household money (as of 2026-11-11).

- Canonical: https://policyrisk.com/federal-register/2026-22851
- As of: 2026-11-11
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2026-22851
- Title: Self-Regulatory Organizations; Fixed Income Clearing Corporation; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change, as Modified by Partial Amendment No. 1, To Establish a Guaranty Fund at the Government Securities Division
- Type: Notice
- Agencies: Securities and Exchange Commission
- Citation: 91 FR 72592
- Published: 2026-11-10
- Effective: unknown
- Comments close: not stated
- Significant: no
- Touches household money: yes
- Regulation identifier numbers: none
- Last updated: 2026-11-11

## In one line

A New Safety Net Proposed for Government Securities Trading

## Summary

The Fixed Income Clearing Corporation (FICC) wants to create a new guaranty fund to protect against losses if a member fails to pay or other losses happen in the Government Securities Division. This change affects members who trade government securities and aims to make the system safer and more reliable. The Securities and Exchange Commission is reviewing the proposal and public comments before deciding if it will be approved.

## Effects PRIA read

- New Guaranty Fund to Cover Member Losses: benefit, medium. FICC proposes to create a Guaranty Fund at its Government Securities Division (GSD) to cover losses from a Member default or a non-default loss event and to enable bankruptcy-remote treatment for Clearing Fund deposits.
- Daily Stress Testing and Cover 2 Sizing: cost, medium. FICC would perform daily stress testing using historical and hypothetical scenarios and size the Guaranty Fund to cover the stress test deficiency for the default of the two Netting Member Affiliated Families that would generate the largest aggregate credit exposure (a "Cover 2" requirement).
- Cash-Only Guaranty Fund and Intramonth Resizing: cost, medium. The Proposed Rule Change would require that all deposits to the Guaranty Fund be made in cash, and it would give FICC authority to resize the Guaranty Fund on an intramonth basis if stress test deficiencies breach certain thresholds.
- Clearing Fund Treatment and Margin Rule Changes: mixed, high. The proposal would modify GSD Rule 4 and the Margin Component Schedule to support bankruptcy-remote treatment for Clearing Fund deposits, exclude the Clearing Fund from loss mutualization, remove FICC's authority to borrow Clearing Fund deposits of non-defaulting Members, permit FICC to require add…
- New Loss Allocation Rules, Cooling-Off Period, and Assessment Cap: mixed, medium. FICC would relocate loss allocation rules to a new Rule 4C, incorporate the Guaranty Fund into loss allocation while excluding the Clearing Fund from loss mutualization, eliminate Tier One/Tier Two distinctions and exclude CCIT Members and Registered Investment Company Netting Members from loss all…

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## Sources
- [2026-22851 on federalregister.gov](https://www.federalregister.gov/documents/2026/11/10/2026-22851/self-regulatory-organizations-fixed-income-clearing-corporation-order-instituting-proceedings-to)
- [2026-22851 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2026-11-10/pdf/2026-22851.pdf)

## Related
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- [Next: 2026-22852, Self-Regulatory Organizations; 24X National Exchange LLC; Notice of Filing and…](https://policyrisk.com/federal-register/2026-22852)
- [All Federal Register documents](https://policyrisk.com/federal-register)

Source: PRIA, https://policyrisk.com/federal-register/2026-22851 (as of 2026-11-11).