Following a series of reviews that the Cyprus Securities and Exchange Commission (CySEC) has recently carried out on EMIR data quality being submitted by Regulated Entities to Trade Repositories (TR), they outlined several areas of concern in Circular C545.
UK EMIR is the UK version of EMIR. The European Union (Withdrawal) Act 2018 (EUWA) enables the EMIR to be converted into UK law.
MiFID II and MiFIR commodity derivatives
EMIR transaction reporting rules allow reporting entities to delegate their reporting obligations to a third party, however, the firm still remains ultimately responsible for ensuring the details of their transactions are reported correctly and accurately under Art 9(1) of EMIR.
Entering into derivative transactions, you become a ‘counterparty’.
EMIR introduces two types of counterparties: Financial Counterparties (FC) or Non-Financial Counterparties (NFC).
Regulatory reporting is hard enough without the confusion over which version of each regime is the latest. EMIR has gone through a number of variations since it was first implemented in 2012. We thought it would be a great time to outline what the EMIR version names relate to and where we are currently at as we anticipate further changes to the regime.
DORA provides a regulatory framework on digital operational resilience where all firms need to make sure they are able to withstand, respond to and recover from all types of Information and Communication Technology (ICT) related disruptions and threats.
Electricity Contracts for Difference (CFD) were introduced in the UK as part of the Electricity Market Reform implemented in the Energy Act 2013. The aim was to incentivise investment in renewable energy and improve affordability for consumers. Electricity CFDs are concluded between a renewable generator and Low Carbon Contracts Company (LCCC), a government-owned company. These CFD contracts are awarded for a period of 15 years.
When the last phase of the IM requirements commence in September 2022, a large number of entities (estimated 1200 counterparties) will be subject to the IM requirements for the first time, potentially involving documentation, custodial and operational arrangements.