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LSEG's UnaVista and MTS collaborate on SFTR reporting solution

First Published 13th November 2017

Securities Financing Transactions Regulation (SFTR) expected to go live in 2019. Firms trading on MTS's new Global Collateral Management segment can utilise UnaVista's Trade Repository

London Stock Exchange Group has announced that MTS and UnaVista are collaborating to offer a regulatory reporting solution for firms who execute Securities Financing Transactions (SFTs), such as repo trades. Market participants with a connection to UnaVista Trade Repository and who trade repo contracts on the new Global Collateral Management (GCM) segment of MTS BondVision will be able to match initial trade data fields, creating an entry in the UnaVista portal which can be populated with additional data.

The proposed regulation covers SFTs conducted by any firms established in the EU, regardless of where the individual branch is. It will also include SFTs conducted by EU branches of non-EU firms, and any SFT where the securities used are issued by an EU issuer or by an EU branch of a firm. The proposal also explicitly identifies UCITS funds and AIFM funds as being subject to the regulation in its final form.

UnaVista Trade Repository went live for EMIR trade reports in 2014, enabling customer compliance with reporting obligations across asset classes. MTS's GCM segment enables the trading of bilateral and centrally cleared repo contracts between sell-side and buy-side participants via Request for Quote or OTC registration.

The collaboration will provide a single solution for the trading and reporting of SFTs with front-to-back reporting of Unique Transaction Identifiers (UTIs), timestamps, ISINs and other product identifiers.

Fabrizio Testa, CEO of MTS said: "Our new Global Collateral Management segment offers customers an automated, regulated and orderly market for repo transactions. Linking up with UnaVista to offer our clients a reporting solution for their repo trading ahead of the introduction of SFTR was a natural fit."