OTHER REGIMES

OTHER REGIMES 2017-06-08T00:14:30+00:00

One Solution For All Reporting Regimes

ΜΑΡ FinTech’s Polaris Reporting Hub manages the complexity of multiple reporting regimes, enhancing and routing data to international competent mechanisms and/or authorities in the format required.

 

ΜΑΡ-FinfraG- DTR Derivatives Transactions Reporting service

The Swiss Parliament adopted in June 2015 the Financial Market Infrastructure Act (FMIA), more commonly known as FinfraG. The Law came into force on 1 January 2016 and governs the disclosure requirements for securities transactions. Pursuant to the Law the Swiss Financial Market Supervisory Authority (FINMA) has set out its related supervisory practice in a series of circulars.

The Law aims to align the derivatives trading regulation with international standards.

The reporting obligations of transacting parties under the Law specify that all derivatives transaction data, including OTC and exchange‑traded derivatives, need to be reported to a recognized trade repository. Recently the Swiss regulator has extended the list of reportable products to include non-standardised derivatives with underlying securities listed at a Swiss trading venue and published changes regarding exemptions from the disclosure requirements.

ΜΑΡ FinTech’s Polaris Reporting Hub is configurable to fully satisfy our client’s reporting obligations under FinfraG.

ΜΑΡ–CDTR: Canadian Derivatives Transaction Reporting service

In September 2009, G20 Leaders made a number of commitments regarding the operation of over-the-counter (OTC) derivatives markets, including the statement that all OTC derivatives contracts should be reported to trade repositories in order to improve financial market transparency, mitigate systemic risk and protect against market abuse in the OTC derivatives markets.

The Canadian Securities Act represents a key step towards the government of Canada’s commitment to establish a Canadian securities regulator. Canada is made up of 10 provinces, each with different securities laws. Much like a pre-MiFID Europe, there is fragmentation across markets and a need for a harmonised, single framework and increased transparency across derivatives markets.

The derivative trade reporting rules were proposed, updated and finalised by Canadian provincial securities regulators working under a collaborative identity as the Canadian Securities Administrators (CSA). The CSA was set up due to G20 commitments to establish a new regulatory regime relating to the trading of OTC derivatives in Canada; the CSA addresses trade repositories and derivatives data reporting. The derivatives reporting regulation applies to all 10 provinces in Canada, however, there is a need for local adaptation of the regulations in each province due to differences in securities laws.

Reporting Obligation

Reporting of derivatives to a trade repository is unilateral; the TR rules outlines a hierarchy for determining which counterparty will be required to report a transaction.

Trade reporting is to be completed on a real-time basis. However, where it is not technologically possible to do so, the reporting counterparty must report as soon as possible but not later than T+1. Transactions that were entered into prior to the TR Rule coming into force will be required to be reported provided they have not expired or been terminated within a prescribed period after the TR Rule comes into force (31st December 2014).

Three main types of data must be reported under the TR Rule:

• Creation data
• Life-cycle event data, including any amendments to derivatives data previously reported or novation
• Valuation data which includes the current value of the transaction

ΜΑΡ FinTech’s Polaris Reporting Hub is configurable to fully satisfy our client’s reporting obligations under The Canadian Securities Act