DTCC connects its Global Trade Repository (GTR) Service to REGnosys’s Rosetta to facilitate the testing of the ISDA DRR for derivatives trade reporting requirements across the industry
New York/London/Hong Kong/Singapore/Sydney, April 10, 2024 ‒ DTCC, the premier post-trade market infrastructure for the global financial services industry, today announced that it is working with REGnosys to support industry adoption of the ISDA Digital Regulatory Reporting (DRR) solution and aid compliance with forthcoming global derivatives trade reporting rewrites. The ISDA DRR establishes a golden-source interpretation of market practices and trade reporting logic, developed through industry consensus.
Through this collaboration, REGnosys’s Rosetta, the first ISDA DRR-native regulatory reporting platform, is connecting to the testing environment of DTCC’s Global Trade Repository (GTR) service. The connection enables the reliable testing of trade reporting submissions made using the ISDA DRR to confirm that submissions are accepted as valid by DTCC’s GTR in support of evolving trade reporting requirements. DTCC’s GTR users will benefit from the solution’s alignment with the industry consensus interpretation of the rules captured in the ISDA DRR.
ISDA’s DRR leverages the Common Domain Model (CDM) – an open-source data standard for financial products, trades and lifecycle events – to convert market practices and trade reporting rules into unambiguous, machine-executable code. It supports the transformation of trade data into the ISO 20022 format, as mandated by regulators, and ensures all validation rules are performed when reports get submitted to Trade Repositories like GTR.
“DTCC has been supportive of ISDA’s DRR since its inception, and we are pleased to collaborate with REGnosys to help facilitate the development of a complete, accurate, timely and cost-effective transaction reporting mechanism in accordance with trade reporting rewrite requirements leveraging the ISDA DRR,” stated Syed Ali, Managing Director, DTCC Repository and Derivatives Services. “As more and more firms consider how to simplify their architectures, this is the next step towards providing a streamlined, standard trade reporting generation application that evolves as rules evolve along with machine-readable regulatory requirements, from a single source.”
Commenting on this workflow, Leo Labeis, Chief Executive Officer at REGnosys, said: “REGnosys has put its Rosetta platform into action to serve the industry’s adoption of the ISDA DRR from the start, so we are proud to be joining forces with DTCC to further encourage this development. In a context of rapidly evolving global trade reporting requirements, this is the next step towards offering our clients certainty and effectiveness in hitting compliance deadlines using the industry’s best-in-class solution.”
“Using the ISDA DRR brings greater accuracy and efficiency to regulatory reporting and enables firms to comply with reporting rule changes in multiple jurisdictions at scale, so we’re delighted that DTCC and REGnosys are supporting industry adoption by enabling the validation of trade reporting submissions generated with the ISDA DRR by the Global Trade Repository,” said Scott O’Malia, ISDA’s Chief Executive.
DTCC provides trade repository services for derivatives and securities financing transactions through its GTR, the industry leader in trade reporting. As the only industry-owned and governed global provider of trade reporting services, GTR is uniquely positioned to help market participants address some of their most important operational and regulatory challenges in an ever-evolving environment.
REGnosys provides leading-edge regulatory reporting technology to the global financial industry. With thousands of users globally, its low-code collaboration platform, Rosetta, allows firms to crowd source the reporting logic and automate its deployment in their compliance systems. REGnosys is therefore uniquely placed to enable the development and adoption of the ISDA DRR solution.
The first phase of the collaboration between DTCC and REGnosys included testing and support for firms looking to leverage the ISDA DRR for trade reporting requirements related to regulatory amendments introduced by the Japanese Financial Services Agency (JFSA) and under the EU’s European Market Infrastructure Regulation (EMIR). The next phase of the development efforts to support rule changes under UK EMIR and by the Australian Securities and Investments Commission (ASIC) and Monetary Authority of Singapore (MAS) is currently underway in the ISDA DRR and is expected to launch in April this year.