ESMA has announced the updating of three previously published statements in preparation for a no-deal Brexit scenario. The statements address the impact on reporting under EMIR and SFTR and on the operation of ESMA databases and IT systems after 31 December 2020, the end of the UK’s transition from the EU.
The updated Statement on issues affecting EMIR and SFTR reporting, addresses the following topics:
- Ensuring on-boarding to EU TRs
- Cessation of reporting of UK counterparties to EU TRs and other pertinent issues
- Inter-TR Reconciliation
- TR and Counterparty recordkeeping
- Data Access by NCAs
- Portability of data from a UK-based TR to an EU TR and of data of UK TRs
- Aggregation of data by TRs
- Fees paid by trade repositories registered under EMIR and SFTR
The Statement on ESMA’s Data Operational Plan, addresses the following topics:
- FIRDS (Financial Instruments Reference Data System)
- FITRS Transparency System
- DVCAP (Double Volume Cap System)
- Transaction reporting systems
- ESMA’s registers and data
- Communication to external stakeholders
The updated Statement on the use of UK data in ESMA databases and performance of MiFID II calculations, addresses the following topics:
- Reference data
- Annual transparency calculations for equity and non-equity instruments
- Quarterly liquidity determination for bonds
- Calculations for SI determination
- DVC (Double Volume Cap)
- Ancillary Activity calculations
Reporting participants can also refer to our recent comprehensive Brexit article to help them prepare for a no-deal Brexit.