The Chairman of the U.S. Securities and Exchange Commission (SEC) Gary Gensler has asked staff to recommend rules around ensuring principal trading firms (PTFs) are appropriately registered as dealers, calling for improved transparency in the world’s biggest bond market.
Gensler said the rules would likely mandate PTFs, also known as high-frequency trading firms, to report their trades to FINRA’s Trade Reporting and Compliance Engine (TRACE).
The head of the market’s regulator added that such trading firms should also comply with capital and record-keeping rules and be subject to periodic exams much like equities and corporate bond markets.
Jeffrey Newman represents whistleblowers 617-823-3217
