ASIC Reporting refers to the mandatory derivatives transaction reporting regime implemented by the Australian Securities and Investments Commission (ASIC) for the monitoring and prevention of systemic risk. This requirement was enacted in the ASIC Derivative Transaction Rules (Reporting) of 2013.
Who is affected by this regulation?
This reporting requirement is double sided. If any counterparty to a trade has a reporting obligation, it must report that trade even if its counterparty is also reporting it.
Firms with a reporting obligation are:
- Firms incorporated or formed in Australia.
- Foreign subsidiaries of Australian authorised deposit taking institutions or Australian financial services licensees as per the Corporations Act of 2001.
- Foreign authorised deposit taking institutions with Australian branches and only trades booked in Australia.
- Foreign companies offering debentures or guaranteeing debentures in Australia and only trades booked in Australia.
However, there is a relief allowing single-sided reporting if the company’s gross notional outstanding position is less than AUD$5 billion for two consecutive quarters and its counterparty is already required or has agreed to report.
Which trades need to be reported?
Over-the-counter (OTC) derivatives from the following asset classes need to be reported:
- Credit
- Commodities excluding electricity
- Equities
- Forex
- Rates
Australian firms and their subsidiaries must report all OTC derivatives trades that meet the above criteria.
New trades, modifications (including changes in valuations) and terminations, assignments and step-in/out transactions, and any other derivative transaction needs to be reported where these are undertaken by a firm with a reporting obligation. Exchange-traded derivative transactions are not reportable.
When is the deadline for reporting?
T+1, the day after the trade is executed.
How can MAP FinTech assist?
MAP FinTech is integrated with DTCC Data Repository (Singapore) PTE Ltd (DDRS) as an aggregator under the Australian Securities & Investments Commission (ASIC) requirements and can report on behalf of its clients.
As per ASIC’s derivative transaction rules, MAP FinTech’s ASIC Reporting Service maps all compulsory trade data to the required format. The ASIC-DTRS Reporting Service provides the ability to extract, convert, reconcile and submit the relevant trades and positions required under the OTC derivatives reporting rules. Furthermore, MAP FinTech maintains and updates pertinent fields to reflect the latest ASIC derivative transaction reporting requirements.
MAP FinTech offers a complete, cost-efficient and integrated solution with a 100% success rate that is delivered via a single platform along with the rest of the company’s regtech offerings, and comprehensive support services provided by an experienced and dedicated team of professionals.