Complete multi-derivative asset class support across regulation
Trax®, a leading provider of regulatory reporting, trade matching and capital market data services, has bolstered its strategic alliance with the CME by integrating the workflow of the CME Global Repository Services (GRS) into the Trax Insight™ platform to facilitate regulatory reporting of derivatives.
The alliance leverages mutual synergies, connecting the regulatory reporting and technical expertise of Trax with the global reach of CME's Trade Repositories. Firms can now seamlessly connect to the Trax Insight reporting system, directing G20 reports to the CME GRS for all in-scope derivatives asset classes, including credit, interest rate, equity, commodity and foreign exchange derivatives. Trax Insight features a customisable, web-based operational tool to actively manage and monitor the status of reporting activity through a single interface. Clients can quickly identify exceptions and data quality issues as well as view industry leading analytics and peer benchmarking reports across multiple reporting jurisdictions.
By connecting to Trax, firms can easily satisfy their EMIR derivatives reporting requirements, as well as satisfy their broader cross-asset class MiFID I transaction reporting and MiFID II/MiFIR trade and transaction reporting requirements. This alliance aims to provide full G20 coverage, including Dodd-Frank and other derivatives regulations around the globe. As a single connection for derivatives reporting and risk controls, the alliance between Trax and the CME Trade Repositories improves operational efficiency through integrated technology and a single interface.
Trax Insight offers a complete derivatives reporting solution through its state of the art user interface, including eligibility determination through the Droit regulatory rules-based decision engine in addition to reporting connectivity to the CME European Trade Repository, which was originally announced in 2014.
Chris Smith, Head of Trax and Operations Services, MarketAxess and Trax, comments, "Trax and CME Group have a long history of building technology to help improve the functioning of post-trade operations. With CME Group's strong market position in the global derivatives market combined with Trax's reporting experience and technical proficiency, this relationship helps firms confidently meet their cross-regulation reporting obligations."
"CME Group is committed to providing feature rich and value-added multi-jurisdictional reporting solutions," said Jonathan Thursby, Executive Director, Global Head of CME Global Repository Services. "This collaboration with Trax is another way for clients to leverage CME's global portfolio of trade repositories through their market leading and proven processes designed to optimize compliance and efficiency."
Trax is a leading provider of capital market data, trade matching and regulatory reporting services to the global securities market. In 2016, Trax processed 1.2 billion transactions on behalf of its user community, including 13 million fixed income transactions. Trax estimates that it processes approximately 65% of all fixed income transactions in Europe as part of its post-trade service offering.
Trax plans to become an Approved Publication Arrangement (APA) and is also working in close collaboration with the industry to develop unique tools for Systematic Internaliser (SI) determination. Trax is currently an Approved Reporting Mechanism (ARM) under MiFID I and will continue its ARM regulatory status to comply with MIFID II.
Trax is based in London and was originally established in 1985. Acquired by MarketAxess in 2013, Trax is a trading name of Xtrakter Ltd. and is a wholly owned subsidiary of MarketAxess Holdings, Inc.