The European trade repository REGIS-TR announced today that it has teamed up with global provider of secure financial messaging services SWIFT to support their customers in preparing for future derivatives regulation in Europe.
In the framework of the joint initiative, REGIS-TR customers will be able to access the derivatives trade repository and report directly to it using SWIFT. This connectivity enhancement will offer important efficiency and security benefits to customers in addition to facilitating compliance with the upcoming European Markets Infrastructure Regulation (EMIR).
REGIS-TR already offers flexible access and reporting interfaces to its customers through a web-based application and automatic and fully electronic communication in XML-formatted files. The SWIFT messaging capability will have particular importance to customers registering trades in foreign exchange derivatives as SWIFT accounts for high percentage of FX trades being confirmed electronically. SWIFT is an acknowledged industry leader in financial connectivity and is therefore key to ensuring processing efficiency and effectiveness in derivatives trading.
Jesús Benito, Managing Director of REGIS-TR, said the enhanced capability delivered by the inclusion of SWIFT messaging was an important benefit requested by REGIS-TR and SWIFT clients. "A trade repository such as REGIS-TR needs to be accessible to as many potential users as possible by as many ways as possible to allow for efficient and cost-effective reporting of derivatives data by customers to the Registry. SWIFT is recognised across the world as the industry standard and we are delighted to bring its benefits to our clients and to contribute to the overall transparency and efficiency of the OTC derivatives market."
Alain Raes, Chief Executive, EMEA, SWIFT, added: "We are very pleased to be collaborating with REGIS-TR to the benefit of our community. This co-operation builds on our strong presence in the OTC derivatives markets, particularly for FX and metals. We are committed to providing standardised and open access to the infrastructures being created to support the industry in meeting the requirements of new regulations in the derivatives markets, for both reporting and clearing, and we offer flexible solutions to address the needs of individual infrastructures and their users."
SWIFT and REGIS-TR are committed to helping their customers ensure regulatory compliance in a cost-effective and efficient way, expanding their services to cover a growing number of product and asset classes. SWIFT is therefore continually developing its reporting services and REGIS-TR is keen to make these additional capabilities available to its users.
REGIS-TR rolled out its FX trade reporting service in November 2011 which will enable customers to report their trades in compliance with EMIR, due to be enforced in 2013, while also being able to match and confirm their positions with counterparties. The trade repository also handles interest rate swaps and derivatives based on commodities with further expansion planned to include equity-based derivatives and Credit Derivative products before the end of 2012. In parallel REGIS-TR has developed a web-based regulatory portal that allows regulators across the globe to obtain real-time information on data held within REGIS-TR for the already rolled-out and in the future, the upcoming product classes.