IHS Markit is partnering with six leading securities finance market participants as part of its ongoing effort with Pirum Systems to build a solution to address Securities Finance Transaction Regulation (SFTR) reporting requirements.
Joining IHS Markit as design partners are BNY Mellon, Brown Brothers Harriman, Deutsche Bank Agency Lending, eSecLending, J.P. Morgan and Rabobank. Each member of the initial design group will contribute their requirements and market expertise to ensure the fully-hosted, end-to-end reporting framework suits the diverse needs of the securities lending and repo communities.
The IHS Markit SFTR reporting solution will ultimately enable market participants impacted by SFTR to report transactions through an interoperable, modular platform. These modules will assist in handling the complex data challenge posed by SFTR from data exchange, enrichment and warehousing – from reconciliation and reporting to approved trade repositories. Users will also be aided to comply with the reporting requirements mandated by MiFID II.
SFTR was enacted by the European Parliament in 2015 to provide greater transparency on cross-asset class lending, borrowing, repurchase agreements and sale/buy-back agreements among counterparties in the EU. The regulation will be phased in through 2019, and additional reconciliation requirements are under consideration for a later date.