The Monetary Authority of Singapore (MAS) requires certain firms to report details of their derivatives transactions to a Licensed Trade Repository (LTR). TRAction provides delegated reporting solutions for those whose trades are captured under the MAS regime.
Who needs to report?
Those required to report include:
- any bank in Singapore licensed under the Banking Act (Chapter 19);
- any subsidiary of a bank incorporated in Singapore subject to exemption;
- any merchant bank approved as a financial institution under the Monetary Authority of Singapore Act;
- any finance company licensed under the Finance Companies Act;
- any insurer licensed under the Insurance Act subject to exemption;
- any holder of a capital markets services licence (CMSL) subject to exemption; and
- any significant derivatives holder as set out in section 6 of the Regulations.
It’s important to note the reporting obligation is double-sided. If either counterparty to a trade satisfies any one of the above conditions, they are subject to the reporting obligation and must report the transaction.
The Securities and Futures (Reporting of Derivative Contracts) Regulation 2013, implemented and enforced by MAS, enacts this reporting requirement.
What trades need to be reported?
OTC derivatives traded or booked in Singapore from the following asset classes must be reported:
- interest rates; and
- foreign exchange, commodity and equity OTC derivative contracts (from 1 October 2021).
Debentures, exchange-traded derivatives contracts and units in a collective investment scheme are excluded from MAS reporting requirements.
Where are reports submitted?
All MAS OTC derivative trades are to be reported to an LTR regulated under MAS. As it stands, DTCC is the only regulated LTR for Singaporean trade reporting.
How can TRAction assist you?
TRAction has worked extensively with DTCC in Australia for the ASIC regime and is very familiar with its reporting systems, meaning we can make our delegated reporting services seamless and stress-free. Our team extracts, converts and enriches trade data to ensure your reporting is complete and accurate prior to the submission of data to DTCC which we do on your behalf. Unlike other delegated reporting services, trade reporting is TRAction’s core business, which enables us to also provide clients with invaluable compliance support and advice as part of our service.
If you would like to know more about how TRAction can help you, please contact us.