The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) announced May 10 that the two agencies have formed a joint committee that will address emerging regulatory issues. The Joint CFTC-SEC Advisory Committee on Emerging Regulatory Issues was one of the 20 recommendations included in the agencies' harmonization report issued last year.
The two agencies say that the joint Committee will develop recommendations on emerging and ongoing issues relating to both agencies. The first item on the committee's agenda was conducting a review of the market events of Thursday, May 6, in which the Dow Jones dropped 1,000 points.
The SEC and CFTC say that the Committee's charter provides for a broad scope of interest, including:
o Identifying of emerging regulatory risks.
o Assessing and quantifying the impact of such risks and their implications for investors and market participants.
o Furthering the SEC's and CFTC's efforts on regulatory harmonization.
Chairman Mary Schapiro of the SEC and Chairman Gary Gensler will serve as co-chairs of the Joint Committee.