Pension Funds Support SEC

A number of major pension funds have written to the Securities and Exchange Commission offering their support in the implementation of the Dodds Frank provisions.

These funds see a threat from a number of sources in this initiative. Republicans are threatening to re-open debate on the legislation and banks are heavily lobbying against some of the measures. Allied to this, Congress has been dragging its heels in approving the resources that will allow the regulators to complete the task of producing the detailed regulations.

Fourteen leading funds have written a letter to Mary Shapiro, the SEC’s chairman, urging her to press on with implementation.

Key areas that concern the funds in terms of non-implementation are:-

• Drafting rules governing credit rating agencies;
• Looking for alternative ways to fund these agencies;
• Modifying the international accounting standards.