regis-tr – the first european trade repository for derivatives powered by:
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REGIS-TR – the first European Trade Repository for Derivatives
Powered by:
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Regulatory requirements under EMIR
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EMIR – Implementation timeline by ESMA as of March 2013
A: Registration of a TR
Jan 2013 Jul 2013 Jan 2014 Jul 2014
A + 90 days: Reporting start date for IR and
Credit derivatives
Reporting start date for all other asset classes
25 Jun 2013
B: CCPs to apply for authorisation
Firms clear derivatives business
Notifications for the clearing obligation
ESMA to submit draft RTS on the clearing
obligation
Possible final date Possible range of final date
23 Sep 2013
1 Jan 2014
15 Sep 201315 Mar 13
Q2 2014
16 Apr 2013 16 Mar 2014
16 Oct 13 16 Sep 2014
ESMA starts determining products to be cleared Q3 2013
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EMIR – Key Cornerstones of the EU Regulation
ESMA Final Report
Key components of the reporting regulation:
Reporting: Financial as well as non-financial counterparties must report all, cleared as well as uncleared, exchange- as well as OTC-traded contracts to a TR – no threshold applies – no exceptions on derivatives products
Reporting: Phasing of products to be reported – Interest Rate, Credit and respective listed derivatives to be reported as of September 2013, all other product classes three months later (January 2014)
Timing: All derivatives positions must be reported to a trade repository (limit T+1)
Live contracts are to be “backloaded” into a trade repository post-applicability of the regulation, depending on the start date for the respective product class
The new regulation applies from 23 September 2013
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What REGIS-TR can be for the industry
A Trade Repository offering registration and reporting services for Derivatives out of Luxembourg
Belonging to well known European Market Infrastructures within two exchange infrastructures (Deutsche Boerse and BME)
What is REGIS-TR and who is behind REGIS-TR
Registration and reporting services for Derivatives and holding the customer data exclusively in the EU
Providing a one-stop-shop service, based on a reliable, cost-efficient TR solution for all types of market participants
Delivering added-value services well beyond regulatory compliance – exposure management, reporting hub...
What REGIS-TR brings to the industry
Reporting of all asset classes
Interest rates and fixed-
income
Equities
Foreign exchange
Credit defaultswaps
Commodities
Exchange Trades Derivs
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Feb 2012
Technical architecture:
Developed on BME’s mainframe IBM platform with a central database server using DB2
Efficiency, high security and scalability
Contingency measures:
Use of existing BME’s mainframe also used for CSD function:
Maximum back-up quality standards
Availability of two redundant locations with data centres and offices, with synchronous data replication:
Integrity of back-up data
Internet access = BME Internet infrastructure with high capacity bandwidth and complete redundancy: connection with two different ISPs through two independent nodes. All components duplicated
Tested every 6 months
REGIS-TR is based on a secure and scalable system environment
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Feb 2012REGIS-TR offers flexible and industry-standard access
System Access and communication between participants and REGIS-TR:
Use of web-based application
Manual input/queries with secured Internet access. Web access, exportable to CSV files
Mass upload/download of XML files through secured Internet access
Automatic transfer of XML files through a SWIFTNet FileAct file transfer connection between REGIS-TR and the participant
SOAP API connection and data transfer via SWIFT MT messaging under development
Customer Service helpdesk during EU working hours
Advantages:
Cost-efficient platform, accessible from “anywhere”
Efficient/cost-effective particularly for small participants
Efficient for medium- to large participants
Use of low-cost widely used industry standards
Alternative connection possibilities, further flexibilizing the options for participants
Online helpdesk support
Easy build-up of XML messaging.
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Feb 2012
Third Party delegation
Reporting Obligation
Information enhancement
Directly?
REGIS-TR – Reporting Flows
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Practical examples to illustrate simple principles
EMIR: Principals and Practice with respect to Reporting
1. Bilateral non-cleared trade
2. Principal trades in a chain
3. Counterparty dealing bilaterally with another counterparty through a broker
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EMIR: Principals and Practice with respect to Reporting
Clearing member C
CCPD
Firm A
Venue E
Execution
Broker B
Firm H
Clearing member J
Client of A
4. Two counterparties executing a trade in a venue
Outstanding issues include;
Is it always clear who is to be understood as the original counterparty and subject to a reporting obligation?Is it reasonable to assume that a single trade id will be used from trade venue through novation to netting?Can we assume in all cases that the «principal» has the all the information required to fulfill its reporting obligation and/or delegate that responsibility to a CCP?
When simple principles meet market reality
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Contact Details
REGIS-TR
42, Avenue J.F. KennedyL - 1855 LuxembourgTel: +352 243 36481
Email: [email protected]