ISDA and Markit Expand Access to Trade Reporting Documentation for Canada

In advance of trade reporting requirements that will come into effect in Canada at the end of October, the International Swaps and Derivatives Association (ISDA) and Markit have launched the ISDA Canadian Representation Letter on ISDA Amend, a joint solution between Markit and ISDA that aims to streamlines aspects of compliance with Dodd-Frank, European Market Infrastructure Regulation (EMIR) and other OTC derivatives regulatory requirements.
By Jake Safane(2147484770)
In advance of trade reporting requirements that will come into effect in Canada at the end of October, the International Swaps and Derivatives Association (ISDA) and Markit have launched the ISDA Canadian Representation Letter on ISDA Amend, a joint solution between Markit and ISDA that aims to streamlines aspects of compliance with Dodd-Frank, European Market Infrastructure Regulation (EMIR) and other OTC derivatives regulatory requirements.

ISDA Amend allows clients to centrally manage Know Your Customer (KYC) and Anti-Money Laundering (AML) documentation requirements, and it can also track and control counterparty access at the fund and account level. The tool is built on top of Markit’s Counterparty Manager platform.

The ISDA Canadian Representation Letter came out in March and allows users to provide information needed to assess how Canadian regulatory requirements may apply to transactions between counterparties. Now it is available on ISDA Amend to improve access, as buy-side firms can use the tool at no charge.

“Our service makes it simpler to document a firm’s domicile with respect to swaps reporting in Canada and share that information with counterparties as needed,” says Lansing Gatrell, managing director and head of Markit’s Counterparty Manager service. “Management of domicile and other KYC information is critical for compliance with an expanding number of financial industry regulations worldwide and our goal is to automate and centralize the process as much as possible.”

Starting on October 31, 2014, the Ontario Securities Commission (OSC), the Manitoba Securities Commission (MSC) and the Autorité des Marchés Financiers (AMF) in Quebec, will require counterparties to report certain derivatives data to trade repositories for transactions involving local counterparties. Other Canadian provinces are expected to adopt similar rules soon.

CME, The Depository Trust and Clearing Corporation (DTCC) Data Repository and Intercontinental Exchange (ICE) Trade Vault have gained approval to act as trade repositories in Ontario and Quebec.

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