Torstone Technology, providers of securities and derivatives processing software to the global financial markets, has released a new Inferno module that consolidates OTC derivative trades from multiple front office systems and feeds them into Global Trade Repositories (GTRs) such as DTCC, automatically.
The aim is to help financial institutions comply more easily and accurately with the transparency and reduced risk goals of new global regulatory reporting requirements for OTC derivatives evolving from the European Market Infrastructure Regulation (EMIR) and US Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank).
Torstone has developed the technology based around the open industry standard FpML messages for OTC products. Trades can be fed either in real time or uploaded automatically at the end of the day. Data feeds from multiple front office systems are consolidated so that all the uploaded OTC details are viewable within the one system. This removes any manual effort or use of spreadsheets, helps the industry to adapt to the altered structure of the OTC derivatives market and meet the requirement to report to the global trade repositories.
Torstone's OTC trade reporting can be provided as a fully integrated part of Inferno, or alternatively can be deployed as a standalone module.
Brian Collings, chief executive of Torstone Technology said: "We have done the technical ground work as well as what we believe is necessary for EMIR reporting and are in the final stages of meeting the more stringent Dodd Frank reporting, already fulfilling the requirement to report the trades in real time and provide trade workflows such as tracking confirmation status.
We'll be working with clients to understand additional requirements such as reporting common agreed trade identifiers between the OTC participants and end of day position reporting."
Torstone's technology has been fully tested with DTCC's GTR. Having developed the systems using industry standards, this technology is fully transferable to other GTRs such as Regis-TR.