29 May 2007

CESR guidelines on transaction reporting

CESR published its guidelines on MiFID transaction reporting. The transaction reporting regime established by MiFID is key for CESR members to monitor the activities of investment firms and to ensure that they act honestly, fairly and professionally and in a manner which promotes the integrity of the market.

The reports can be made either by the investment firm itself; a third party acting on its behalf; by a trade matching or reporting system approved by the competent authority; by the regulated market; or, MTF through whose systems the transaction was completed.

CESR members shall further exchange the reports between themselves through the Transaction Reporting Exchange Mechanism (TREM). This system for exchanging the data between CESR members is currently being developed by CESR.

In addition to the technical work, some issues have been identified where there is a need for a harmonised approach by CESR members. The document published today provides guidance to three aspects of transaction reporting:

practical solutions for the reporting obligations for branches;

clarification as to what constitutes “execution of a transaction” for transaction reporting purposes;

operational solutions for some aspects of reporting channels.

CESR also publishes a Feedback Statement which sets out how issues raised during the consultation process have been considered and reflected in the final guidelines.

Guidelines
Feedback statement

© CESR - Committee of European Securities Regulators