As we slowly emerge from our socially distanced bubbles and contemplate the view beyond our own back garden towards the wider world again, we thought to cast our eyes stateside. The US Commodity Futures Trading Commission (CFTC) has issued six banks with regulatory orders over reporting failures. Access real-time data, charts, analytics and news from anywhere at anytime. HSBC was also charged with violating swap-dealer risk management regulations, the first time the CFTC has brought such an action. is complete it will pretty much make the ideal starting point for creating the Canadian equivalent. Administrative dispositions issued by the Commission. Public Comments Comments submitted to the Commission are available online for public review. This method of obtaining large trader data is not used frequently. The CFTC uses various means to ensure the accuracy of its large trader data. Other constituencies include exchanges and other venues where the trades are executed, and the technology providers who serve the market. The CFTC Form 204: Statement of Cash Positions in Grains and CFTC Form 304: Statement of Cash Positions in Cotton show the trader’s positions in the cash market. Chicago Board of Trade December 2001 Corn Future (in contracts) As of: 08/15/01. LabCFTC is designed to be the hub for the agency’s engagement with the FinTech innovation community. Final Rule: Amendments to the Commission’s Regulations Relating to Certain Swap Data Repository and Data Reporting Requirements (Part 49 Verification) The Commission unanimously approved amendments to parts 43, 45, and 49 of CFTC’s regulations to improve the accuracy of data reported to, and maintained by, swap data repositories (SDRs), and to provide enhanced and streamlined oversight of SDRs and data reporting … CAT can be loosely thought of as similar to the EU’s MiFIR reporting, as it’s not so much looking at the systemic Commodity Futures Trading Commission (CFTC) registrants and National Futures Association (NFA) members can streamline their business and operational processes and improve the quality and effectiveness of their compliance programs … Taking in the view further north, the US’s Canadian counterparts seem to be following the CFTC and SEC rewrites with a discerning eye, picking and choosing the ‘best bits’ and revising their own OTC derivatives reporting rules accordingly. Opinions and adjudicatory orders issued by the Commission. The industry will need to be fully prepped for the final version of the rewrite rules expected in the final quarter of 2020 and braced for the subsequent 12-month implementation period. Cboe: Do More Trading Venues Lead To Better Execution? View the latest Special Executive Reports (SERs). Evaluate your margin requirements using our interactive margin calculator. The Commission also made revisions that, among other things, will change the “block trade” definition and the block swap categories; update the block thresholds and cap sizes; and address issues market participants have had in publicly reporting certain types of swaps. ON THE MOVE: Hooley Joins MarketAxess; Corrao and Meehan to Elinphant, OCC Issues Paper on Central Clearinghouse Resiliency and Stability. Chicago Board of Trade December 2001 Corn Future (in contracts) As of: 08/05/01. And despite everything that’s transpired meantime, all evidence points to business as usual a clearing member has a cleared position many times the reporting level for a given market, but reports few or no large trader positions. That said, the rewriting of something that never came into being raises a smile all the same. This proposed rule has a 30-day comment period after publication in the Federal Register. Supplemental Notice of Proposed Rulemaking: Part 190 Bankruptcy Regulations. Large Trader Reporting Program. The forms also show whether the account is being used for hedging cash market exposure. § 45.14 Reporting of errors and omissions in previously reported data. Comments submitted to the Commission are available online for public review. Explore historical market data straight from the source to help refine your trading strategies. This is no surprise as many US and Canadian banks are closely aligned and operate in both countries. HSBC was fined $650,000 for its risk management failures, the order specifically finds that from January 2013 until November 2015, the bank did not designate a swap dealer governing body or senior management to fulfil the requisite oversight duties under CFTC regulations. - when it comes to the regulators’ priorities, that is. If so, it indicates which futures/option markets are used and what merchandising or marketing activities are involved. Traders caters primarily to buy-side firms with more $500 million in assets, as well as sell-side broker-dealers that provide data, execution services and liquidity. To ensure privacy of the information they provide, the CFTC has assigned confidential reporting numbers to reporting firms and traders. In response to the final regulations, the Market Regulation Department released a Market Regulation Advisory Notice identifying the CME and CBOT products currently subject to the large trader reporting requirements under Part 20, which may be accessed, Product Reference Files Settlement Prices, Modern Slavery Act Transparency Statement. The Commission also finalized revisions that, among other things, streamline the requirements for reporting new swaps, define and adopts swap data elements that harmonize with international technical guidance, and reduce reporting burdens for reporting counterparties that are not SDs or MSPs. 111-203, H.R. 0 Read more. At the heart of these regulations is the requirement that swap dealers separately consider the risks unique to swaps as an asset class, separate from their other businesses. © 2020 CME Group Inc. All rights reserved. § 45.10 Reporting to a single swap data repository. We use cookies to help us to deliver our services. The Commission unanimously approved amendments to parts 43, 45, and 49 of CFTC’s regulations to improve the accuracy of data reported to, and maintained by, swap data repositories (SDRs), and to provide enhanced and streamlined oversight of SDRs and data reporting generally. Create a CMEGroup.com Account: More features, more insights. Traders is a digital information and news service serving professionals in the North American institutional trading markets with a focus on the buy-side, including large asset managers, hedge funds, proprietary trading shops, pension funds and boutique investment firms. Final Rule: Amendments to the Commission’s Regulations Relating to Certain Swap Data Repository and Data Reporting Requirements (Part 49 Verification). the wheels are most certainly in motion again. § 45.12 Voluntary supplemental reporting § 45.13 Required data standards. The Data Investigations team works to ensure accurate identification of order flows and resulting trades by clearing and trading firms and individual members. The Commission has the discretion to raise or lower the reporting levels in specific markets to strike a balance between collecting sufficient information to oversee the markets and minimizing the reporting burden on traders that are reportable. CFTC Part 20 Reporting (Large Trader Reporting for Physical Commodity Swaps) Since November 21, 2011, market participants have been required to comply with the CFTC final Part 20 regulations regarding large trade requirements for cleared swaps. of aggregating and making sense of all this data in disparate formats fairly impossible. The Commodity Futures Trading Commission at its open meeting unanimously approved three final rules to revise CFTC regulations for swap data reporting, dissemination, and public reporting requirements for market participants. An example of clearing member data for fictitious firms A and B is given in Table 1: Clearing Member Data. So, we expect to see banks, reporting firms, technology vendors, and it’s only right that the SEC adopts the appropriate elements. CFTC Forms 102 and 40 allow the CFTC to identify the name and address of the account, the person(s) controlling the trading, the person to contact regarding trading, the nature of the account (e.g., whether it is an omnibus account for another broker or an individual account), whether the reported account is related—by financial interest or control—to another account, and the principal occupation or business of the account owner. To address such a limitation on clearing member data, the Commission’s market surveillance program uses large trader data. Reporting firms are also subject to on-site audits by the exchange and CFTC staff. These errors fell into dozens of categories, including missing data presented in a format inconsistent with CFTC requirements.