Business Risk Mitigation and Price Stabilization Act of 2013

Bill 113 hr 634, also known as the Business Risk Mitigation and Price Stabilization Act of 2013, was introduced in the US Congress to address concerns related to the regulation of derivatives trading. The bill aimed to exempt certain end-users of derivatives, such as non-financial companies, from certain regulatory requirements imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act.

The main purpose of the bill was to provide relief to businesses that use derivatives to hedge against risks associated with fluctuations in interest rates, currency exchange rates, and commodity prices. By exempting these end-users from certain regulatory requirements, the bill sought to ensure that businesses could continue to effectively manage their risks without facing unnecessary regulatory burdens.

The bill also included provisions aimed at promoting transparency and accountability in the derivatives market. It required certain derivatives transactions to be cleared through central clearinghouses and reported to regulatory authorities, in order to reduce systemic risk and increase market stability. Overall, the Business Risk Mitigation and Price Stabilization Act of 2013 was intended to strike a balance between promoting market efficiency and stability, while also ensuring that businesses could continue to effectively manage their risks through the use of derivatives. The bill ultimately passed in the House of Representatives and the Senate, and was signed into law by President Barack Obama in 2014.