WASHINGTON — A House Financial Services Committee version of a bill to regulate derivatives would allow banks and others more leeway to use derivatives for hedging purposes without sending them through a clearing house.

Under a Treasury draft of the bill submitted to Congress in August, all "end user" firms, including banks, would have to use a clearing house unless they could prove the derivative was being used to hedge against risk.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.