{"identifier":"/us/usc/t12/s5462","title":12,"num":"\u00a7\u202f5462.","heading":"Definitions","text":"\u00a7\u202f5462.\nDefinitions\nIn this subchapter, the following definitions shall apply:\n(1)\nAppropriate financial regulator\nThe term \u201cappropriate financial regulator\u201d means\u2014\n(A) the primary financial regulatory agency, as defined in\nsection 5301 of this title\n(B) the National Credit Union Administration, with respect to any insured credit union under the Federal Credit Union Act (\n12 U.S.C. 1751\n(C) the Board of Governors, with respect to organizations operating under section 25A of the Federal Reserve Act (\n12 U.S.C. 611\n(2)\nDesignated activity\nThe term \u201cdesignated activity\u201d means a payment, clearing, or settlement activity that the Council has designated as systemically important under\nsection 5463 of this title\n(3)\nDesignated clearing entity\nThe term \u201cdesignated clearing entity\u201d means a designated financial market utility that is a derivatives clearing organization registered under section 5b of the Commodity Exchange Act (\n7 U.S.C. 7a\u20131\n15 U.S.C. 78q\u20131\n(4)\nDesignated financial market utility\nThe term \u201cdesignated financial market utility\u201d means a financial market utility that the Council has designated as systemically important under\nsection 5463 of this title\n(5)\nFinancial institution\n(A)\nIn general\nThe term \u201cfinancial institution\u201d means\u2014\n(i) a depository institution, as defined in\nsection 1813 of this title\n(ii) a branch or agency of a foreign bank, as defined in\nsection 3101 of this title\n(iii) an organization operating under section 25 or 25A of the Federal Reserve Act (\n12 U.S.C. 601\u2013604a\n(iv) a credit union, as defined in section 101 of the Federal Credit Union Act (\n12 U.S.C. 1752\n1\n1 See References in Text note below.\n(v) a broker or dealer, as defined in section 3 of the Securities Exchange Act of 1934 (\n15 U.S.C. 78c\n(vi) an investment company, as defined in\nsection 80a\u20133 of title 15\n(vii) an insurance company, as defined in\nsection 80a\u20132 of title 15\n(viii) an investment adviser, as defined in\nsection 80b\u20132 of title 15\n(ix) a futures commission merchant, commodity trading advisor, or commodity pool operator, as defined in section 1a of the Commodity Exchange Act (\n7 U.S.C. 1a\n(x) any company engaged in activities that are financial in nature or incidental to a financial activity, as described in section 4 of the Bank Holding Company Act of 1956 (\n12 U.S.C. 1843(k)\n(B)\nExclusions\nThe term \u201cfinancial institution\u201d does not include designated contract markets, registered futures associations, swap data repositories, and swap execution facilities registered under the Commodity Exchange Act (\n7 U.S.C. 1\n15 U.S.C. 78a\n(6)\nFinancial market utility\n(A)\nInclusion\nThe term \u201cfinancial market utility\u201d means any person that manages or operates a multilateral system for the purpose of transferring, clearing, or settling payments, securities, or other financial transactions among financial institutions or between financial institutions and the person.\n(B)\nExclusions\nThe term \u201cfinancial market utility\u201d does not include\u2014\n(i) designated contract markets, registered futures associations, swap data repositories, and swap execution facilities registered under the Commodity Exchange Act (\n7 U.S.C. 1\n15 U.S.C. 78a\n(ii) any broker, dealer, transfer agent, or investment company, or any futures commission merchant, introducing broker, commodity trading advisor, or commodity pool operator, solely by reason of functions performed by such institution as part of brokerage, dealing, transfer agency, or investment company activities, or solely by reason of acting on behalf of a financial market utility or a participant therein in connection with the furnishing by the financial market utility of services to its participants or the use of services of the financial market utility by its participants, provided that services performed by such institution do not constitute critical risk management or processing functions of the financial market utility.\n(7)\nPayment, clearing, or settlement activity\n(A)\nIn general\nThe term \u201cpayment, clearing, or settlement activity\u201d means an activity carried out by 1 or more financial institutions to facilitate the completion of financial transactions, but shall not include any offer or sale of a security under the Securities Act of 1933 (\n15 U.S.C. 77a\n(B)\nFinancial transaction\nFor the purposes of subparagraph (A), the term \u201cfinancial transaction\u201d includes\u2014\n(i) funds transfers;\n(ii) securities contracts;\n(iii) contracts of sale of a commodity for future delivery;\n(iv) forward contracts;\n(v) repurchase agreements;\n(vi) swaps;\n(vii) security-based swaps;\n(viii) swap agreements;\n(ix) security-based swap agreements;\n(x) foreign exchange contracts;\n(xi) financial derivatives contracts; and\n(xii) any similar transaction that the Council determines to be a financial transaction for purposes of this subchapter.\n(C)\nIncluded activities\nWhen conducted with respect to a financial transaction, payment, clearing, and settlement activities may include\u2014\n(i) the calculation and communication of unsettled financial transactions between counterparties;\n(ii) the netting of transactions;\n(iii) provision and maintenance of trade, contract, or instrument information;\n(iv) the management of risks and activities associated with continuing financial transactions;\n(v) transmittal and storage of payment instructions;\n(vi) the movement of funds;\n(vii) the final settlement of financial transactions; and\n(viii) other similar functions that the Council may determine.\n(D)\nExclusion\nPayment, clearing, and settlement activities shall not include public reporting of swap transaction data under section 727 or 763(i) of the Wall Street Transparency and Accountability Act of 2010.\n(8)\nSupervisory Agency\n(A)\nIn general\nThe term \u201cSupervisory Agency\u201d means the Federal agency that has primary jurisdiction over a designated financial market utility under Federal banking, securities, or commodity futures laws, as follows:\n(i) The Securities and Exchange Commission, with respect to a designated financial market utility that is a clearing agency registered with the Securities and Exchange Commission.\n(ii) The Commodity Futures Trading Commission, with respect to a designated financial market utility that is a derivatives clearing organization registered with the Commodity Futures Trading Commission.\n(iii) The appropriate Federal banking agency, with respect to a designated financial market utility that is an institution described in\nsection 1813(q) of this title\n(iv) The Board of Governors, with respect to a designated financial market utility that is otherwise not subject to the jurisdiction of any agency listed in clauses (i), (ii), and (iii).\n(B)\nMultiple agency jurisdiction\nIf a designated financial market utility is subject to the jurisdictional supervision of more than 1 agency listed in subparagraph (A), then such agencies should agree on 1 agency to act as the Supervisory Agency, and if such agencies cannot agree on which agency has primary jurisdiction, the Council shall decide which agency is the Supervisory Agency for purposes of this subchapter.\n(9)\nSystemically important and systemic importance\nThe terms \u201csystemically important\u201d and \u201csystemic importance\u201d mean a situation where the failure of or a disruption to the functioning of a financial market utility or the conduct of a payment, clearing, or settlement activity could create, or increase, the risk of significant liquidity or credit problems spreading among financial institutions or markets and thereby threaten the stability of the financial system of the United States.","url":"https://projectusc.org/usc/t12/s5462.html","content":[{"t":"sec","id":"/us/usc/t12/s5462","children":[{"t":"num","text":"\u00a7\u202f5462."},{"t":"heading","text":"Definitions","tail":"\n"},{"t":"chapeau","text":"In this subchapter, the following definitions shall apply:"},{"t":"para","id":"/us/usc/t12/s5462/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Appropriate financial regulator"},{"t":"chapeau","text":"The term \u201cappropriate financial regulator\u201d means\u2014"},{"t":"subpara","id":"/us/usc/t12/s5462/1/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" the primary financial regulatory agency, as defined in ","children":[{"t":"ref","text":"section 5301 of this title","href":"/us/usc/t12/s5301","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/1/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" the National Credit Union Administration, with respect to any insured credit union under the Federal Credit Union Act (","children":[{"t":"ref","text":"12 U.S.C. 1751","href":"/us/usc/t12/s1751","tail":" et seq.); and"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/1/C","children":[{"t":"num","text":"(C)"},{"t":"content","text":" the Board of Governors, with respect to organizations operating under section 25A of the Federal Reserve Act (","children":[{"t":"ref","text":"12 U.S.C. 611","href":"/us/usc/t12/s611","tail":"), and any other financial institution engaged in a designated activity."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Designated activity"},{"t":"content","children":[{"t":"p","text":"The term \u201cdesignated activity\u201d means a payment, clearing, or settlement activity that the Council has designated as systemically important under ","children":[{"t":"ref","text":"section 5463 of this title","href":"/us/usc/t12/s5463","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Designated clearing entity"},{"t":"content","children":[{"t":"p","text":"The term \u201cdesignated clearing entity\u201d means a designated financial market utility that is a derivatives clearing organization registered under section 5b of the Commodity Exchange Act (","children":[{"t":"ref","text":"7 U.S.C. 7a\u20131","href":"/us/usc/t7/s7a\u20131","tail":") or a clearing agency registered with the Securities and Exchange Commission under section 17A of the Securities Exchange Act of 1934 ("},{"t":"ref","text":"15 U.S.C. 78q\u20131","href":"/us/usc/t15/s78q\u20131","tail":")."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Designated financial market utility"},{"t":"content","children":[{"t":"p","text":"The term \u201cdesignated financial market utility\u201d means a financial market utility that the Council has designated as systemically important under ","children":[{"t":"ref","text":"section 5463 of this title","href":"/us/usc/t12/s5463","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/5","children":[{"t":"num","text":"(5)"},{"t":"heading","text":"Financial institution"},{"t":"subpara","id":"/us/usc/t12/s5462/5/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"chapeau","text":"The term \u201cfinancial institution\u201d means\u2014"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" a depository institution, as defined in ","children":[{"t":"ref","text":"section 1813 of this title","href":"/us/usc/t12/s1813","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" a branch or agency of a foreign bank, as defined in ","children":[{"t":"ref","text":"section 3101 of this title","href":"/us/usc/t12/s3101","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" an organization operating under section 25 or 25A of the Federal Reserve Act (","children":[{"t":"ref","text":"12 U.S.C. 601\u2013604a","href":"/us/usc/t12/s601\u2013604a","tail":" and 611 through 631);"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" a credit union, as defined in section 101 of the Federal Credit Union Act (","children":[{"t":"ref","text":"12 U.S.C. 1752","href":"/us/usc/t12/s1752","tail":");\u202f"},{"t":"ref","text":"1"},{"t":"num","text":"1","tail":"\u202fSee References in Text note below."},{"t":"text","text":"\u202fSee References in Text note below."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" a broker or dealer, as defined in section 3 of the Securities Exchange Act of 1934 (","children":[{"t":"ref","text":"15 U.S.C. 78c","href":"/us/usc/t15/s78c","tail":");"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/vi","children":[{"t":"num","text":"(vi)"},{"t":"content","text":" an investment company, as defined in ","children":[{"t":"ref","text":"section 80a\u20133 of title 15","href":"/us/usc/t15/s80a\u20133","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/vii","children":[{"t":"num","text":"(vii)"},{"t":"content","text":" an insurance company, as defined in ","children":[{"t":"ref","text":"section 80a\u20132 of title 15","href":"/us/usc/t15/s80a\u20132","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/viii","children":[{"t":"num","text":"(viii)"},{"t":"content","text":" an investment adviser, as defined in ","children":[{"t":"ref","text":"section 80b\u20132 of title 15","href":"/us/usc/t15/s80b\u20132","tail":";"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/ix","children":[{"t":"num","text":"(ix)"},{"t":"content","text":" a futures commission merchant, commodity trading advisor, or commodity pool operator, as defined in section 1a of the Commodity Exchange Act (","children":[{"t":"ref","text":"7 U.S.C. 1a","href":"/us/usc/t7/s1a","tail":"); and"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/5/A/x","children":[{"t":"num","text":"(x)"},{"t":"content","text":" any company engaged in activities that are financial in nature or incidental to a financial activity, as described in section 4 of the Bank Holding Company Act of 1956 (","children":[{"t":"ref","text":"12 U.S.C. 1843(k)","href":"/us/usc/t12/s1843/k","tail":")."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/5/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Exclusions"},{"t":"content","children":[{"t":"p","text":"The term \u201cfinancial institution\u201d does not include designated contract markets, registered futures associations, swap data repositories, and swap execution facilities registered under the Commodity Exchange Act (","children":[{"t":"ref","text":"7 U.S.C. 1","href":"/us/usc/t7/s1","tail":" et seq.), or national securities exchanges, national securities associations, alternative trading systems, securities information processors solely with respect to the activities of the entity as a securities information processor, security-based swap data repositories, and swap execution facilities registered under the Securities Exchange Act of 1934 ("},{"t":"ref","text":"15 U.S.C. 78a","href":"/us/usc/t15/s78a","tail":" et seq.), or designated clearing entities, provided that the exclusions in this subparagraph apply only with respect to the activities that require the entity to be so registered."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/6","children":[{"t":"num","text":"(6)"},{"t":"heading","text":"Financial market utility"},{"t":"subpara","id":"/us/usc/t12/s5462/6/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"Inclusion"},{"t":"content","children":[{"t":"p","text":"The term \u201cfinancial market utility\u201d means any person that manages or operates a multilateral system for the purpose of transferring, clearing, or settling payments, securities, or other financial transactions among financial institutions or between financial institutions and the person.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/6/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Exclusions"},{"t":"chapeau","text":"The term \u201cfinancial market utility\u201d does not include\u2014"},{"t":"clause","id":"/us/usc/t12/s5462/6/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" designated contract markets, registered futures associations, swap data repositories, and swap execution facilities registered under the Commodity Exchange Act (","children":[{"t":"ref","text":"7 U.S.C. 1","href":"/us/usc/t7/s1","tail":" et seq.), or national securities exchanges, national securities associations, alternative trading systems, security-based swap data repositories, and swap execution facilities registered under the Securities Exchange Act of 1934 ("},{"t":"ref","text":"15 U.S.C. 78a","href":"/us/usc/t15/s78a","tail":" et seq.), solely by reason of their providing facilities for comparison of data respecting the terms of settlement of securities or futures transactions effected on such exchange or by means of any electronic system operated or controlled by such entities, provided that the exclusions in this clause apply only with respect to the activities that require the entity to be so registered; and"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/6/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" any broker, dealer, transfer agent, or investment company, or any futures commission merchant, introducing broker, commodity trading advisor, or commodity pool operator, solely by reason of functions performed by such institution as part of brokerage, dealing, transfer agency, or investment company activities, or solely by reason of acting on behalf of a financial market utility or a participant therein in connection with the furnishing by the financial market utility of services to its participants or the use of services of the financial market utility by its participants, provided that services performed by such institution do not constitute critical risk management or processing functions of the financial market utility.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/7","children":[{"t":"num","text":"(7)"},{"t":"heading","text":"Payment, clearing, or settlement activity"},{"t":"subpara","id":"/us/usc/t12/s5462/7/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"The term \u201cpayment, clearing, or settlement activity\u201d means an activity carried out by 1 or more financial institutions to facilitate the completion of financial transactions, but shall not include any offer or sale of a security under the Securities Act of 1933 (","children":[{"t":"ref","text":"15 U.S.C. 77a","href":"/us/usc/t15/s77a","tail":" et seq.), or any quotation, order entry, negotiation, or other pre-trade activity or execution activity."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/7/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Financial transaction"},{"t":"chapeau","text":"For the purposes of subparagraph (A), the term \u201cfinancial transaction\u201d includes\u2014"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" funds transfers;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" securities contracts;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" contracts of sale of a commodity for future delivery;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" forward contracts;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" repurchase agreements;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/vi","children":[{"t":"num","text":"(vi)"},{"t":"content","text":" swaps;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/vii","children":[{"t":"num","text":"(vii)"},{"t":"content","text":" security-based swaps;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/viii","children":[{"t":"num","text":"(viii)"},{"t":"content","text":" swap agreements;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/ix","children":[{"t":"num","text":"(ix)"},{"t":"content","text":" security-based swap agreements;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/x","children":[{"t":"num","text":"(x)"},{"t":"content","text":" foreign exchange contracts;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/xi","children":[{"t":"num","text":"(xi)"},{"t":"content","text":" financial derivatives contracts; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/B/xii","children":[{"t":"num","text":"(xii)"},{"t":"content","text":" any similar transaction that the Council determines to be a financial transaction for purposes of this subchapter.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/7/C","children":[{"t":"num","text":"(C)"},{"t":"heading","text":"Included activities"},{"t":"chapeau","text":"When conducted with respect to a financial transaction, payment, clearing, and settlement activities may include\u2014"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" the calculation and communication of unsettled financial transactions between counterparties;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" the netting of transactions;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" provision and maintenance of trade, contract, or instrument information;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" the management of risks and activities associated with continuing financial transactions;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" transmittal and storage of payment instructions;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/vi","children":[{"t":"num","text":"(vi)"},{"t":"content","text":" the movement of funds;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/vii","children":[{"t":"num","text":"(vii)"},{"t":"content","text":" the final settlement of financial transactions; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/7/C/viii","children":[{"t":"num","text":"(viii)"},{"t":"content","text":" other similar functions that the Council may determine.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/7/D","children":[{"t":"num","text":"(D)"},{"t":"heading","text":"Exclusion"},{"t":"content","children":[{"t":"p","text":"Payment, clearing, and settlement activities shall not include public reporting of swap transaction data under section 727 or 763(i) of the Wall Street Transparency and Accountability Act of 2010.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/8","children":[{"t":"num","text":"(8)"},{"t":"heading","text":"Supervisory Agency"},{"t":"subpara","id":"/us/usc/t12/s5462/8/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"chapeau","text":"The term \u201cSupervisory Agency\u201d means the Federal agency that has primary jurisdiction over a designated financial market utility under Federal banking, securities, or commodity futures laws, as follows:"},{"t":"clause","id":"/us/usc/t12/s5462/8/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" The Securities and Exchange Commission, with respect to a designated financial market utility that is a clearing agency registered with the Securities and Exchange Commission.","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/8/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" The Commodity Futures Trading Commission, with respect to a designated financial market utility that is a derivatives clearing organization registered with the Commodity Futures Trading Commission.","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/8/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" The appropriate Federal banking agency, with respect to a designated financial market utility that is an institution described in ","children":[{"t":"ref","text":"section 1813(q) of this title","href":"/us/usc/t12/s1813/q","tail":"."}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5462/8/A/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" The Board of Governors, with respect to a designated financial market utility that is otherwise not subject to the jurisdiction of any agency listed in clauses (i), (ii), and (iii).","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5462/8/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Multiple agency jurisdiction"},{"t":"content","children":[{"t":"p","text":"If a designated financial market utility is subject to the jurisdictional supervision of more than 1 agency listed in subparagraph (A), then such agencies should agree on 1 agency to act as the Supervisory Agency, and if such agencies cannot agree on which agency has primary jurisdiction, the Council shall decide which agency is the Supervisory Agency for purposes of this subchapter.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5462/9","children":[{"t":"num","text":"(9)"},{"t":"heading","text":"Systemically important and systemic importance"},{"t":"content","children":[{"t":"p","text":"The terms \u201csystemically important\u201d and \u201csystemic importance\u201d mean a situation where the failure of or a disruption to the functioning of a financial market utility or the conduct of a payment, clearing, or settlement activity could create, or increase, the risk of significant liquidity or credit problems spreading among financial institutions or markets and thereby threaten the stability of the financial system of the United States.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}