When the value of some money market fund shares was at risk of falling below $1, the Division of Investment Management worked with investors, fund managers, and independent money market fund directors to protect shareholders. The SEC also worked with the Department of the Treasury to facilitate its creation of the Temporary Guarantee Program for Money Market Funds. And the Division of Trading and Markets worked to protect the customers of Lehman’s broker-dealers, as well as the customers of its investment advisory and investment management subsidiaries, following the parent firm’s bankruptcy.
The Commission enacted new rules that tightened the ban on abusive naked short selling, and added significant new penalties for violations. These new rules were adopted in close consultation with regulators around the world. The SEC also required short position disclosure.
To bring more transparency to the unregulated $55 trillion credit default swap market, the SEC worked with the CFTC, the Federal Reserve, and the financial services industry to create central counterparties, clearance and settlement systems, and trading platforms for credit default swaps.
Also in 2008, the SEC reached agreements with the Federal Reserve and the Commodity Futures Trading Commission to ensure that key federal financial regulators share information more efficiently and coordinate regulatory activities.
The Commission enacted new rules that tightened the ban on abusive naked short selling, and added significant new penalties for violations. These new rules were adopted in close consultation with regulators around the world. The SEC also required short position disclosure.
To bring more transparency to the unregulated $55 trillion credit default swap market, the SEC worked with the CFTC, the Federal Reserve, and the financial services industry to create central counterparties, clearance and settlement systems, and trading platforms for credit default swaps.
Also in 2008, the SEC reached agreements with the Federal Reserve and the Commodity Futures Trading Commission to ensure that key federal financial regulators share information more efficiently and coordinate regulatory activities.
SEC actions in 2008 will result in up to
$55 billion being returned to injured investors in auction rate securities—by far the largest settlements in SEC history.
$55 billion being returned to injured investors in auction rate securities—by far the largest settlements in SEC history.
• Credit rating agency reform
• New rules that tightened the ban on abusive naked short selling
• Heightened examinations to ensure rules were enforced to prevent the spread of false information
• With FASB, addressed questions about fair value measurements of hard-to-value assets in inactive markets
• Completed congressionally-mandated study of
mark-to-market accounting
• Facilitated creation of the Temporary Guarantee Program for Money Market Funds
• Collaborated with other U.S. regulators to bring
more transparency to the unregulated $55 trillion credit default swap market