OpenLink Financial, LLC (OpenLink), a leading provider of cross-asset trading, risk management and operations processing software solutions, announced today initiatives focused on accelerating compliance with Dodd-Frank regulatory milestones scheduled for 2012.
The Dodd-Frank Wall Street Reform and Consumer Protection Act makes significant changes to regulation of the U.S. over-the-counter (OTC) derivatives market, with the goals of improving transparency, reducing systemic default risk, and promoting market integrity. OpenLink is dedicated to addressing the impact this will have on financial institutions â including regulatory reporting requirements, position limits, and OTC central clearing.
Phil Wang, SVP of Product Management at OpenLink, noted, âOur suite of regulatory compliance solutions will enable clients to leverage their technology investment in OpenLink to comply with these new requirements and the accompanying changes that will transform the derivatives trading landscape. The goal has been to facilitate compliance with cost-efficient solutions that can be rapidly deployed and flexible enough to adapt to forthcoming changes as they are introduced.â
Highlights of OpenLinkâs Dodd-Frank compliance initiatives include:
â¢ Dodd-Frank Regulatory Compliance Reporting Package â a suite of reports for regulatory reporting, including the CFTC Large Trader Report for Physical Commodity Swaps. These position reports will facilitate compliance with CFTC reporting regulations.
â¢ CFTC Position Limits Monitoring â real-time limit monitoring to comply with CFTC position limits in aggregate for both OTC and exchange-traded products. These limits can be monitored at various aggregation levels and reporting perspectives, such as a firmâs own positions and/or their clientsâ positions.
â¢ Swap Data Repository (SDR) Reporting â gateways for real-time reporting to SDRs available by asset class. Alternatively, standard FpML and FIX gateways can facilitate internal connectivity initiatives. Standard workflows are included for determination of trade eligibility for reporting, as well as block/large trades handling.
â¢ OTC Clearing Workflows â OpenLinkâs trade processing workflows have been extended for the lifecycle of OTC-cleared derivative products, from execution, to confirmation, matching and clearing. Post-execution processes, such as amendments, terminations, assignments and option exercise, are fully supported. Connectivity options to CCPs and clearing houses are also available.
OpenLink is committed to staying at the forefront of Dodd-Frank regulatory reform, working closely with clients, regulatory agencies, clearing houses, clearing members, service providers and trade data repositories to keep pace with the rapidly evolving derivatives landscape. OpenLink continues to provide leading technology solutions for the energy and financial services markets with its suite of Dodd-Frank regulatory compliance solutions.