During his four-year tenure at the CFTC, O’Malia was critical of the rulemaking process for the Dodd Frank Act under CFTC Chairman Gary Gensler to reign in the $700 trillion global derivatives market.
O’Malia argued that the agency was bypassing a “procedural responsibility to assess the costs and benefits of regulations,” reported Bloomberg News. O’Malia recently faulted the agency for a lack of international coordination, which has led to global fragmentation in the swaps market.
In a letter submitted to President Obama, O’Malia reportedly tied his resignation to disagreeing with the CFTC’s Dodd-Frank rulemakings. “Although I did not support all 63 rules that the commission has implemented under Dodd-Frank, I am pleased to have contributed to the policy deliberations to improve commission rulemakings.”
In his time at the agency, O’Malia was involved in the planning and implementation of Dodd Frank rules, the establishment of swap execution facilities (SEFs) and trade reporting rules requiring institutions to clear trades through a central counterpart. He also reestablished the dormant Technology Advisory Committee (TAC), promoted the use of technology within the agency, and urged it to improve its usage of data analysis tools.
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Ivy is Editor-at-Large for Advanced Trading and Wall Street & Technology. Ivy is responsible for writing in-depth feature articles, daily blogs and news articles with a focus on automated trading in the capital markets. As an industry expert, Ivy has reported on a myriad ... View Full Bio