This eCourse consists of two modules. Module 1 describes in detail the impact of the Dodd-Frank Act on OTC derivatives. It begins by looking at how these products traded before the Act, focusing in particular on the management of counterparty credit risk. After that, the tutorial moves on to explore the fundamental elements of the Act that address OTC derivatives, including the classification of these instruments into swaps, security-based swaps or mixed swaps, the new categories of regulated market participants (such as swap dealers and major swap participants), mandatory clearing requirements, execution requirements, and the swap push-out rule.
Module 2 describes in details the impact of the Dodd-Frank Act on the asset-backed securitization markets. The Act included enhancements to the regulation of asset-backed securities, primarily in Subtitle D of Title IX which is titled ‘Improvements to the Asset-Backed Securitization Process’.
On completion of this course, you will be able to:
- Outline the motivation for the Dodd-Frank Act's enhanced regulation of OTC derivatives
- Describe the elements of the Dodd-Frank Act that impact OTC derivatives, including the distinction between swaps, security-based swaps, and mixed swaps and how each is regulated
- Explain the motivation for enhanced regulation of asset-backed securitization
- Describe the key elements of the Dodd-Frank Act that relate to securitization, including the risk retention requirement
Module 1: Dodd-Frank Act - OTC Derivatives
Topic 1: Overview of OTC Derivatives
Topic 2: Impact of the Dodd-Frank Act on OTC Derivatives
Module 2: Dodd-Frank Act - Securitization
Topic 1: Securitization, the Financial Crisis, & Dodd Frank Act
Topic 2: Impact of the Dodd-Frank Act on Asset-Backed Securitization