SEC and CFTC Open Comment on Portfolio Margining Harmonization

On June 26, 2026, the Securities and Exchange Commission and the Commodity Futures Trading Commission issued a joint request for public comment on potential approaches to further harmonize regulatory frameworks applicable to portfolio margining across securities, security-based swaps, futures, swaps, and related positions. The agencies indicated the effort is intended to evaluate whether greater coordination may improve risk-management efficiency, reduce unnecessary market fragmentation, and enhance customer protections consistent with their statutory authorities.

The request solicits input on a range of issues, including existing portfolio margining models and practices, customer-protection considerations, cross-margining and cross-product offsets, capital, segregation and collateral treatment, risk-management and margin methodologies, clearing-agency and derivatives-clearing-organization considerations, operational and technical implementation issues, and potential impacts on market liquidity and competition.

SEC Chairman Paul S. Atkins said, "By further harmonizing our frameworks, we can ensure that jurisdictional overlap does not stifle innovation and efficiency," adding that cross-margining offers an opportunity to unlock liquidity frozen in separate accounts. CFTC Chairman Mike Selig stated, "Fostering enhanced cooperation between the CFTC and SEC with respect to portfolio margining promises to unleash untapped capital while ensuring a more robust risk management framework and market protections."

The public comment period will remain open for 60 days following publication of the request for comment in the Federal Register. The agencies encourage stakeholders to provide feedback on the topics identified in the notice.

The joint initiative reflects both agencies' statutory responsibilities and seeks alignment that could affect participants holding securities, security-based swaps, futures, swaps, and related positions.