2009年-ECB欧洲央行_Consultation_of_the_Committee_of_European_Securities_Regulators_on_trade_repositories_in_the_European_Union_-_ECB_contribution_4页_179kb

ECB Contribution to the Consultation on Trade Repositories in the European Union

Core Content

The European Central Bank (ECB) has contributed to the consultation on trade repositories (TRs) in the European Union, emphasizing their role in enhancing transparency in over-the-counter (OTC) derivatives markets. The ECB supports the functional definition of a trade repository as a central registry of authoritative copies of open OTC derivatives trades and highlights the importance of ensuring data reliability, availability, and accessibility.

Main Views

1. Role and Importance of Trade Repositories

• Trade repositories are seen as a critical tool for mitigating the opacity of OTC derivatives markets.
• They support risk management, market discipline, and regulatory oversight by providing transparent data on exposures.
• The ECB supports the reporting of all OTC derivatives contracts to trade repositories, in line with the G20 2009 statement.

2. Functional Approach to Regulation

• The ECB advocates for a functional approach rather than a provider-based approach when regulating trade repositories.
• This means focusing on the service provided rather than the type of entity offering it.
• The ECB suggests that regulatory and oversight expectations should remain generic and high-level at this stage, as the market infrastructure is still evolving.

3. Essential Characteristics of a Trade Repository

• A trade repository should provide two types of information: one related to its own functioning, and the other related to market data.
• It should ensure data integrity, timeliness, and confidentiality.
• Trade repositories should be allowed to offer ancillary services such as netting or asset servicing, but these should not be considered generic to the trade repository function.

4. Data Availability and Stakeholder Needs

• The ECB agrees that regulators, market participants, and the general public should have access to data from trade repositories.
• Regulators should include statutory regulators, central banks, and authorities responsible for financial stability.
• Market participants should include all financial institutions with significant trades in the repository.

5. Location of Trade Repositories

• The ECB acknowledges the systemic relevance of trade repositories, even though they are not payment or settlement systems.
• It stresses the need for Eurosystem access to global trade repositories that store euro-denominated contracts to ensure their safe and resilient operation.
• The ECB also advocates for cooperative oversight frameworks that include the Eurosystem and CESR, especially for offshore global systems.

6. Legal Framework and Harmonization

• The ECB supports harmonized EU requirements for the regulation and supervision of trade repositories.
• It emphasizes the importance of international convergence of regulatory practices to address financial stability implications.
• Given the early stage of the trade repository industry, principle-based legislation is preferred over detailed and prescriptive rules.
• Market-based initiatives can complement regulatory efforts by promoting best practices and interoperability.

Key Information

• Current scope: Trade repositories are currently used for credit default swaps (CDS).
• Global nature: Existing and planned trade repositories are global in scope, covering counterparties, currencies, and reference entities across jurisdictions.
• Systemic risk: Trade repositories have the potential to be systemically important due to their role in supporting central counterparties and market infrastructures.
• EU involvement: The ECB supports EU legislative action to promote harmonization and safety in the post-trading process.
• Interoperability: The ECB encourages interoperability among trade repositories and highlights the role of market participants in this process.

Conclusion

The ECB sees trade repositories as essential for enhancing transparency and stability in OTC derivatives markets. It supports a functional and principle-based regulatory approach, advocates for harmonization and international cooperation, and emphasizes the need for adequate oversight and accessibility of data for various stakeholders. The ECB also underscores the importance of establishing European trade repository facilities to ensure the safe and resilient operation of global systems that serve the euro area.