TRAction Fintech is able to assist you with reporting requirements for the countries around the world where the financial services licensing regime requires Over-The-Counter (OTC) derivatives trades to be reported.
MiFID II and MiFIR
The upcoming changes to the European regulatory framework through the implementation of the Markets in Financial Instruments Directive (MiFID II) and the Markets in Financial Instruments Regulation (MiFIR) on 3 January 2018 will require firms to adapt their trade reporting processes. TRAction Fintech has done the preparation for you so that you can stay compliant with trade reporting requirements through the transition. Learn more about the changes here.
Trade Reporting Legislation
Global commitment to OTC derivatives reform arose out of the global financial crisis (GFC) in 2008. The GFC highlighted structural deficiencies in the global OTC derivatives markets and the systemic risk that those deficiencies posed to wider financial markets and the real economy.
In the lead-up to the GFC, those structural deficiencies contributed to the build-up of large counterparty exposures for which the risks were not appropriately managed. With details of OTC derivative transactions generally held only between the counterparties, in many cases those exposures were not transparent to other market participants and regulators.
The overarching objectives of the OTC derivatives reforms are:
- to enhance the transparency of transaction information available to relevant authorities and the public;
- to promote financial stability; and
- to support the detection and prevention of market abuse.