New layout for MiFID transaction reporting in production

On September 23, 2019, a new version of the ESMA MiFID II guidelines became the new standard. DEX Data Explorers has updated DEX Regulatory Suite with these new standards.

MiFID II is a legal framework established by the European Union (EU) to regulate financial markets and improve investor protection. The goal is to standardize practices across the EU and restore confidence in the industry, especially after the 2008 financial crisis.

MiFID II harmonizes the application of supervision among member states and broadens the scope of the regime. In particular, it imposes more reporting requirements and tests to increase transparency and reduce the use of dark pools (private financial exchanges that allow investors to trade without revealing their identity) and Over The Counter (OTC) trading.

Transaction Reporting

January 4, 2018 was the first day that financial institutions across Europe had to report their transactions to the regulator under the new MIFID ii regulation. Daily transaction reports must be submitted to a local competent authority, in the Netherlands this is the AFM. MiFID ii transaction reporting guidelines have been established by ESMA.

DEX Data Explorers has incorporated MiFID II Transaction Reporting into DEX Regulatory Suite.

DEX Regulatory Suite for ESMA

To support the ESMA process, DEX Data Explorers offers DEX Regulatory Suite for ESMA. DEX RS generates legal reports based on ESMA specifications.

DEX Regulatory Suite for ESMA generates the XML messages used in the MiFID II processes. These XML messages are based on the same ISO 20022 message standards used for SFTR transaction reporting.

• DEX Regulatory Suite provides the following functionality for reporting entities:
• Reports generated according to the latest standards
• Analysis tools for mapping own datasets onto the ESMA model
• Validation of the data according to the validation rules defined by ESMA; this allows you to validate the reports before you send them
• XML generation according to ESMA standards
• Processing of ESMA feedback
• Automatically generated documentation
• Support for workflows

An example of a MiFID ii report generated by DEX RS is shown below.

Workflow support

DEX RS offers workflow integration. DEX RS functionality is integrated with workflow systems. Users are guided through the regulatory process; manual steps are integrated with automated steps. All actions are recorded.

Design your own reports

In addition to providing the required regulatory reports, DEX RS offers you the ability to design your own reports. In this way, you can reuse the data you use for legal reports for internal reports, for example.

Available Solutions

DEX Regulatory Suite supports the following regulations:

• CRD iv (COREP, FINREP, Funding Plans, Asset Encumbrance, Supervisory Benchmarking Portfolio)
• AnaCredit
• Residential Real Estate
• Deposit Guarantee Scheme
• MIFID ii
• SFTR
• Socioeconomic Reports
• Digital Reporting (DRA).
• Solvency
• IORP ii
• Country Risk
• Financial assessment framework (FTK)
• Premium pension institutions (PPIs).
• Fiscal Reporting (VIA, Fatca)

Addition Knowledge House and DEX Regulatory Suite
Addition Knowledge House(www.addition.nu) is a reseller of DEX Regulatory Suite. Addition Knowledge House offers the following services related to DEX Regulatory Suite:

• Implementation support
• Maintenance
• Business process outsourcing

Each situation is unique. Addition Knowledge House is happy to discuss how we can best support your process.