The International Organization of Securities Commissions today issued the Update to Survey on the Principles for the Regulation and Supervision of Commodity Derivatives Markets, which updates its 2012 review of the implementation of IOSCO’s principles for commodity derivatives markets.
Consistent with the 2012 review of implementation of the IOSCO’s principles for commodity derivatives markets, the majority of respondents to IOSCO’s 2014 update were broadly compliant with the Principles. Where commodity derivative markets exist and market authorities were yet to be fully compliant, many of those market authorities had identified initiatives aimed at achieving full compliance over time.
In April 2012, IOSCO commissioned a survey of members as a means to carry out an implementation review of the Principles for the Regulation and Supervision of Commodity Derivatives Markets, which were published in September 2011 at the behest of the G20. The principles are aimed at ensuring a globally consistent approach to oversight that works to improve price transparency and combat market manipulation in the commodity derivatives market.
Responses were received from 37 Market Authorities, and the survey results were published in October 2012 in the report Survey on the Principles for the Regulation and Supervision of Commodity Derivatives Markets (2012 report).
IOSCO decided to prepare the update report in time for the G20 Brisbane Summit in November 2014. It includes a reprise of the conclusions of the 2012 review and is focused largely on supervision and enforcement and those principles where members’ were yet to achieve full compliance. Responses were received from 34 of the 37 Market Authorities - governmental regulators, self-regulatory organization and regulated markets – who responded to the 2012 survey.
The questions provided a mechanism for the Market Authorities to set out current and future regulatory developments regarding progress against the principles since the 2012 report.