Complexity and volume of new regulatory reporting requirements forcing a strategic review by firms concerned by the cost and inflexibility of current infrastructure
Sapient Global Markets, a leading global provider of business technology and consulting services for the capital and commodity markets, today announced the latest development to its award-winning CMRS platform that will enable firms to comply with the Markets in Financial Instruments Regulation (MiFIR) reporting requirements.
MiFIR and its associated Directive (MiFID II) is driving a fundamental rethink of how firms can strategically manage reporting, as it brings new regimes, trading venues, and transparency to derivatives markets that will alter significantly market structure. Planning and preparing for these changes is a huge undertaking that is gathering pace after the recent publication of the final technical standards.
CMRS is a proven solution that connects to all major trading and risk management systems, collecting and normalizing data from those sources, applying reporting eligibility logic, translating it into the destination message format, and delivering it directly to the Swap Data/Trade Repositories (SDRs/TRs) be it the CME, DTCC, ICE Trade Vault, REGIS-TR or UnaVista.
Under the MiFIR requirements, CMRS will identify the reportable trades before transforming the trade and transaction data in to the specific formats to meet the stringent reporting, publication and transparency commitments. It will connect to the new Approved Reporting Mechanisms (ARMs) for transaction reporting and Approved Publication Arrangements (APA) for post-trade data publication, supporting flexible routing between them.
As a result of this latest enhancement, CMRS will deliver a single, multi-asset, multi-jurisdictional regulatory reporting platform for buy- and sell-side firms for Dodd Frank, EMIR and MiFID II as well as for Australian (ASIC), Canadian (OSC, AMF, MSC) and Singaporean (MAS) requirements. It enables clients to trace and track data throughout the lifecycle, providing much needed post-trade transparency and assurance that reporting is being performed in an accurate and timely manner.
“With such a fundamental shift in requirements, firms are using MiFIR and MiFID II as the catalyst to scrutinize their infrastructures due to the significant time it will take to implement and test the new obligations,” commented Jim Bennett, managing director at Sapient Global Markets. “The wider scope of reportable instruments and higher volumes is leading firms to question whether it makes sense to continually adjust internal infrastructures, or look to a more strategic approach to reduce cost and manage complexity. We are evolving CMRS to deliver the new reporting requirements under MiFIR and support firms to transform their infrastructures to be more flexible, cost-effective and sustainable. This will also ensure clients have sufficient time to plan, refine and test their reporting ahead of the scheduled January 3, 2017 compliance deadline.”