Avox Limited has announced that it has launched a new AvoxData Regulatory Reporting File download service that includes mandatory attributes required for reporting counterparties of OTC derivative trades to the U.S. Commodity Futures Trading Commission (CFTC).
This offering from Avox, a wholly-owned subsidiary of The Depository Trust & Clearing Corporation (DTCC), is a function of the CFTC’s directive known as the Interim Compliant Identifiers (CICI) initiative. The directive was designed to designate a CICI utility for the purpose of issuing identifiers to firms involved in OTC derivative trading. The utility chosen is a DTCC-SWIFT venture. The goal of this interim process would be to create a system that would be consistent with, and then eventually co-opted into, the global framework for a Legal Entity Identifier (LEI) program that is being promoted by the Financial Stability Board (FSB) and the G20. Once the LEI system is implemented and operational, the CICI will transition into the global LEI.
Creating legal identifiers is central to the ability of regulators and market participants in the OTC markets to understand the nature of the trading as well as measuring and managing risks. CFTC regulatory rules are already in effect for interest rate and credit derivatives. Starting in January 2013, the requirements will be extended to cover foreign exchange (FX), commodity and equity derivatives.
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From the company’s release, the subscription-based service is made available in a flat file and includes all published and freely available data fields from the CICI (CFTC Interim Compliant Identifier) Utility, including the ISO17442-compliant identifier, core CICI meta-data and record verification state. This offering also includes Avox-sourced legal entity, hierarchy, regulatory and address information, along with key industry identifiers such as the Avox ID (AVID), SWIFT BIC (subject to licensing) and National Futures Association (NFA) identifier. Avox will also cross reference these legal entities with the swaps dealer (SD)/major swaps participant (MSP) classifications, as they become available, across all asset classes.
“There are numerous regulations coming into effect in 2012 and 2013 requiring submission of the applicable CICI and later, Legal Entity Identifiers. Our new AvoxData Regulatory Reporting File has been created to help clients address this pressing requirement with maximum efficiency,” said Ken Price, CEO and co-founder of Avox. “We’ve taken all the headaches associated with cross referencing work away from reporting firms, freeing them up to focus on their core business.”
The AvoxData Regulatory Reporting File includes all published CICIs and NFA registered legal entities and is updated daily, reflecting the rapid increase in CICIs across all asset classes and jurisdictions. These updates include changes identified by Avox’s global user base and Avox data partners, which are independently verified by Avox’s expert data analyst team, as well as data from the CICI Utility. This unique, collaborative approach ensures Avox customers are dealing with the most accurate and timely data available, thus facilitating efficient and compliant regulatory reporting.