Wolters Kluwer has today launched ISO 20022 compliant Transaction Reporting for Daily Sterling Money Market Statistical Reporting (MMSR) for both new and existing customers.
The functionality, as part of OneSumX Regulatory Reporting, has been tested with the Bank of England (BoE) and is already in use by BoE selected Daily Sterling MMSR Early Adopters.
Early Adopters are already required to submit to the BoE on a regular basis prior to the full market go-live for in-scope firms on July 1, 2016. Today’s launch enables firms to implement a straight-through-process in just a hand-full of days that delivers accuracy, speed and efficiency. Wolters Kluwer will update the content in terms of the reporting items, validation and XML submission requirements with any changes published by the BoE through the firm’s Regulatory Update Service. This unique service is maintained by Wolters Kluwer experts who actively monitor regulation in approximately 50 countries, helping to ensure the solution is current at all times.
In 2014, the size of the Euro money market was estimated through the annual Money Market Survey (MMS) to be almost €80 trillion with 80% comprised of secured and unsecured lending, FX Swaps and Euro Overnight Index Swaps (OIS). In the U.K., the Sterling Overnight Index Average (SONIA) is a critical benchmark referenced in £10 trillion OIS contracts and underpins the valuation of £35 trillion swap transactions.
Given the importance that both these markets have within the European Union as well as the global economy, policy makers are seeking to make changes to money market statistical reporting requirements that will enable them to have higher quality, granular and timely data on key Euro and U.K. Sterling money market segments. This is designed to provide relevant and timely data on the monetary policy transmission mechanism and closely monitor monetary policy and financial developments. It also informs market participants on market functioning to allow informed choice among reference rates.
“Firms are pressed for time to prepare for Daily Sterling MMSR requirements,” notes Richard Bennett, vice president, Regulatory Reporting, for EMEA at Wolters Kluwer. “Where they may have adopted tactical solutions in the past to meet transaction level reporting obligations, now is a good opportunity to think more strategically about investing in the right platform and infrastructure. Today’s launch provides firms with the opportunity to ensure straight-through timely, high quality and accurate data submissions that will identify the appropriate reportable transactions. Having this ability is critical as firms examine how their global operations, from a business and IT perspective, are impacted by these requirements.”