Commodity Futures Modernization Act of 2000

Definition

Federal legislation enacted in 2000 that overhauled certain regulatory schemes and expelled the Shad-Johnson jurisdictional accord, which prevented single-stock futures in 1982. Another major part of the act was that it prevented the new financial products called swaps from being regulated by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). It has been suggested that the Commodity Futures Modernization Act of 2000 contributed to the failure of bankrupt corporation Enron and the financial crisis of 2008 because of its loose regulations.

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commodity futures Troubled Assets Relief Program