Obama advocates finalization of financial services regulation

President Barack Obama recently called for the finalization of several key reforms that affect the financial services industry.

One landmark reform that has yet to be completed is the Dodd-Frank Act, according to The Wall Street Journal. Data provided by law firm Davis Polk & Wardwell LLP revealed that less than 40 percent of the deadlines contained in the act have been met.

While a large number of the rules were supposed to be set forth before July, only 38.9 percent of these had been established on July 1, the media outlet reported. One major component of the act is requiring that trades of OTC derivatives be cleared centrally.

In addition, there are derivatives regulations related to margin and capital requirements that have not yet been established, Treasury Department officials recently told CNBC. Another provision of Dodd-Frank that must be finalized is the Volcker rule. The adoption of this regulation could impact derivatives trading.

Obama stressed the urgency of making such changes by meeting with top officials from several different government agencies on August 19, the media outlet reported. Key staff members of the National Credit Union Administration, the Federal Reserve and the Federal Deposit Insurance Corporation were all present at the meeting.

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