ICE to Launch European Trade Repository for European Swaps & Futures

IntercontinentalExchange, a leading operator of global markets and clearing houses, announced that it has applied to the European Securities and Markets Authority (ESMA) to establish ICE Trade Vault Europe Limited (ICE Trade Vault Europe) as a Trade Repository (TR) for the reporting of Swaps Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Read this Term and futures trade data to meet requirements of the European Market Infrastructure Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term (EMIR).

ICE Trade Vault Europe plans to serve the commodities, credit, interest rate and foreign exchange asset classes. The launch of ICE Trade Vault Europe is subject to approval by ESMA.

"As the implementation stage for ESMA's technical standards approaches, market participants, from brokers to end users, will benefit from seamless functionality and compliance tools, which will help them comply with new reporting requirements through a well designed, easy to use and cost efficient solution," said David Peniket, Executive Director of ICE Trade Vault Europe.

In June 2012, ICE Trade Vault, LLC (ICE Trade Vault US) became the first Swap Data Repository (SDR) in the U.S. to receive provisional regulatory approval from the Commodity Futures Trading Commission. ICE Trade Vault began accepting credit default swaps trade data in October 2012 and commodities trade data in February 2013. Since its inception, ICE Trade Vault US has accepted fifteen million trades.

"A common theme of international financial regulation is mandatory swap reporting and the creation of repositories. ICE is committed to providing its customers with a global repository solution," said Bruce Tupper, President of ICE Trade Vault, LLC.

ICE Trade Vault Europe will use ICE's proven repository technology for market participants to submit data and will connect to a range of institutions, including Clearing Houses, Multilateral Trading Facilities (MTFs) and Organised Trading Facilities (OTFs). Adopting ICE's repository technology will ensure minimum disruption for market participants who can continue to use their existing connectivity to report swaps and futures data in real-time. New European regulatory reporting requirements are anticipated to come into place once ESMA approves TR applicants.