The CFTC announced the establishment of the Market Risk Advisory Committee (“MRAC”). The MRAC’s duties include:
- advising the CFTC on issues involving clearinghouses, exchanges, intermediaries, market-makers and end users regarding systemic issues that threaten the stability of the derivatives markets and other financial markets;
- identifying and analyzing the implications of an evolving market structure and the movement of risk across clearinghouses, intermediaries, market-makers and end users;
- monitoring developments in the structure of the derivatives markets for their effect on systemic issues that threaten the stability of the derivatives markets and other financial markets; and
- making recommendations to the CFTC on how to improve market structure and mitigate risk.
MRAC will be a continuing advisory committee with an initial two-year term that will automatically expire two years from the date of the charter filing unless renewed prior to the expiration. MRAC will consist of approximately 20 to 25 members.
See: 79 FR 25844.