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FAQs on transaction reporting – Question II.2.4.4

Article 5 of the Implementing Regulation and TRUM Section 3.2.10

It has been mentioned at an industry meeting that a lifecycle even that needs to be reported is when the trader for a still active trade leaves the company, or moves to another department, and therefore is no longer responsible for taking decisions or actions in executing or amending the transaction. The suggestion is that in this case a modification to the trade report needs to be made identifying the person who is now responsible for taking decisions or actions in executing or amending the transaction. For example:

John Smith enters into a trade for Summer 2016 Baseload on 17/5/2015.

On 21/10/2015 John Smith leaves the company and is therefore no longer responsible for the trade in any way. Would that need to be reported and if so how?


Answer:

The trader leaving the market participant does not in itself constitute a life cycle event. Any subsequent modifications or amendments to the trade are considered a life cycle event. If a different trade changes the terms of the contract, then the Trader ID can be amended by a life cycle event with a trade report containing the following information:

Field (3) Traded ID: the ID of the trader who has made the modification

Any field that was amended: new value as a result of the modification (including new time stamp).

Field (58) Action Type “M” for Modify (or ”C” for Cancel if the trade is cancelled).

Last update: 16/11/2015   RSS_Icon Subscribe to this Page’s RSS