Julian Eyre | published on 26th February 2018
The Field Effect attended Broadridge’s ‘Take Control of Your SFTR Compliance’ seminar last week
The Field Effect attended Broadridge’s ‘Take Control of Your SFTR Compliance’ seminar last week where it was great hear how firms are preparing for their SFTR readiness, along with making new acquaintances. It was interesting to hear the views of the operational impact of SFTR and how the market can learn from implementation challenges relating to the recent MIFID 2 regulation.
David Field, Managing Director at The Field Effect was a panellist in the discussion, and provided insight as to how the firms should consider the way they approach their operational challenges, along with how the regulation can allow for firms to generate business value, as opposed to mere compliance.
The Field Effect have identified three categories of data attribute sources: fields that we expect in the primary trading systems (like time stamp, notional etc), fields that can be derived from that PTS data (such as looking up an LEI from a PTS counterpart ID), and fields that will probably come from somewhere else (e.g. reference data such as agreement ID and version). We have analysed the data requirements for all products, split by mandatory, conditional and optional. Interesting to note that, in the case of Repo for example, about a third of the data should be in the PTS, a third must be derived from PTS data, and a third must come from elsewhere. The trick now is to tag each of those data attributes to the actual source systems, which will almost certainly vary by asset class tech stack, It’s complicated!
Contact us to understand more about how you can manage the impact of SFTR on your firm along with your strategic regulatory initiatives.