Bloomberg MiFID II Solution Secures FCA Approval for its ARM

Bloomberg Data Reporting Services Limited (BDRSL) today announced that it has secured the UK financial regulator’s approval for its Approved Reporting Mechanism (ARM), the final piece of authorisation allowing the vendor to offer a complete regulatory reporting portfolio for the upcoming MiFID II MiFID II MiFID II stands for the Markets in Financial Instruments Directive, and is the second iteration of a sweeping directive. As such it is known as MiFID II. The original Markets in Financial Instruments Directive (MiFID) became effective in November 2007. It was intended as the foundation of the EU’s Financial Services Action Plan, a comprehensive project to create a single European market in financial services. MiFID is intended to create a level playing field for firms to compete in the EU’s fina MiFID II stands for the Markets in Financial Instruments Directive, and is the second iteration of a sweeping directive. As such it is known as MiFID II. The original Markets in Financial Instruments Directive (MiFID) became effective in November 2007. It was intended as the foundation of the EU’s Financial Services Action Plan, a comprehensive project to create a single European market in financial services. MiFID is intended to create a level playing field for firms to compete in the EU’s fina Read this Term regime.

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On its way to achieving approval, Bloomberg previously obtained approval to test until the end of this year - this included the service’s ARM for transaction reporting and its Approved Publication Arrangement (APA) for trade reporting.

MiFID requires transactions of all instruments admitted to trading on a regulated market to be reported to the local regulatory authority, or the National Competent Authority (NCA).

The FCA supports the industry with a dedicated testing environment called the Market Data Processor system (MDP). As an approved reporting mechanism, BDRSL connected to the FCA’s MDP system to allow users to validate MiFID II reports ahead of January 2018.

With the MiFID II regulations coming into effect in nearly three months, market participants will face a steep increase in reporting tasks across a wide range of asset classes and within very short timeframes.

Given these headwinds, Bloomberg says that its offering helps clients report transactions in all asset classes via one feed directly through Bloomberg’s Regulatory Hub (RHUB). RHUB validates data whilst maintaining consistency throughout the post-trade reporting process by generating and reporting data to regulators in real-time and also making it available for best Execution Execution Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Execution is the process during which a client submits an order to the brokerage, which consequently executes it resulting in an open position in a given asset. The execution of the order occurs only when it is filled. There is typically a time delay between the placement of the order and the execution which is called latency.In the retail FX space, reliable brokers always strive to deliver best execution to their clients in order to maintain a solid business relationship with them. This is a co Read this Term analysis, trade reconciliation and record-keeping.

Commenting on this, Ben Macdonald, Bloomberg’s Global Head of Enterprise Products, said: “The authorisation of our ARM for MiFID II is the final piece of the puzzle allowing Bloomberg to offer a complete regulatory reporting service for MiFID II. The service, used in connection with our seamlessly pre-integrated best execution and trade archiving and reconstruction solutions, helps firms ensure that data is consistent across their entire workflow, which will be critical given the vast amount of data firms need to manage under MiFID II.”

Alejandro Perez, Global Head of Post-Trade Solutions at Bloomberg, added: “We are very pleased that the FCA has authorised our ARM for MiFID II transaction reporting. This further strengthens our position as a reporting partner for firms globally, across asset classes and regulatory regimes.”