U.S. Securities and Exchange Commission (SEC) chairman Elisse Walter has urged international market regulators to look for compromise as they struggle to decide on how to apply new regulations for cross border over-the-counter derivatives trades.

Speaking via video conference at the annual forum of the Australian Securities and Investment Commission, SEC Chairman Walter proposed for a regime wherein foreign regulation should be applied for cross-border trades. She also suggested that when cases where there are no comparable regulations arise, U.S. rules should be only applied.

Walter also explained in a statement that the proposed approach would allow a market participant to adhere to a set of domestic requirements in capital or risk management.

Furthermore, the chairman pointed out that U.S. policies are likely to apply to cross-border transactions including the agency's public transparency requirements and business conduct standards.