DTCC Deriv/SERV’s continued dialogue with clients, its focus on enriching client experience and on-going enhancements to the trade reporting platform have resulted in a smooth and seamless launch of Phase II reporting under the European Market Infrastructure Regulation (EMIR), according to Ian McLelland, CEO of the DTCC’s European Trade Repository (DDRL).
An important milestone in furthering regulatory goals for greater transparency in derivatives trading, Phase II reporting commenced on August 11. The mandate requires buy- and sell-side firms in Europe to report the collateral they post for derivatives trades along with the valuations of transactions, in addition to the comprehensive data market participants have been prescribed by the European Securities Market Authority (ESMA) when the regulation first went live in February.
“We have invested a lot of time and effort over the past year to raise awareness of the reporting obligations, facilitating our clients’ readiness to meet their reporting obligations and offering them the flexibility to use existing infrastructures to meet these new requirements,” McLelland said. “We are particularly pleased that we provided our clients with the ability to report their collateral and valuation information before the mandatory August 11 deadline helping reduce any potential build-up.
“One month in and we are processing this additional data without issue,” McLelland added. “At the same time, we are fulfilling our obligations to ESMA and the relevant national authorities within Europe who access the data to receive all new regulatory reports in a timely manner.”
DTCC’s Global Trade Repository (GTR) through DDRL began supporting trade reporting in Europe in February 2014. DTCC’s European trade repository processed more than 75 million new messages and 16 million open positions during the first week of mandated regulatory reporting in Europe.
During just one week in August , more than 170 million messages were submitted to DTCC’s European trade repository for processing (70% of the total messages processed by GTR that week across jurisdictions).
The European trade repository currently holds more than 20 million open OTC derivatives – 60% of all open OTC trades held by GTR across jurisdictions. The repository is processing and reporting data on behalf of approximately 90,000 distinct accounts in the European trade repository (including through delegated reporting) – more than 10 times the number of accounts managed across all other jurisdictions.
This year, DTCC has also extended its GTR service in Singapore and Australia to assist a broader range of firms meet new OTC derivatives reporting requirements that came into effect in the Asia-Pacific region.
For more information:
DTCC GTR Collateral and Valuations
DTCC GTR Brochure
DTCC Expands Global Trade Repository Service in Australia and Singapore