Results for tag: "Dodd Frank Act"

The Dodd-Frank Wall Street Reform and Consumer Protection Act is a comprehensive set of financial regulations enacted in the United States in 2010. It was created in response to the financial crisis of 2008 and is intended to protect consumers from financial abuse and to promote financial stability. The Act established a number of new regulatory bodies, including the Consumer Financial Protection Bureau, and imposed new regulations on the banking and securities industries. It also created a new system of oversight for the derivatives market and established a process for winding down large, failing financial institutions. The Dodd-Frank Act has had a significant impact on the financial markets, particularly in the area of derivatives trading. The Act requires that derivatives be traded on regulated exchanges and that they be cleared through central clearinghouses. It also requires that derivatives be reported to regulators and that certain derivatives be subject to margin requirements. These requirements have increased transparency and reduced risk in the derivatives market. Companies in the Dodd-Frank Act market include banks, broker-dealers, investment advisors, hedge funds, and other financial institutions. These companies must comply with the Act's regulations in order to remain in business. Additionally, companies that provide services related to derivatives trading, such as clearinghouses and exchanges, are also subject to the Act's regulations. Show Less Read more