Source: http://download.asic.gov.au/regulatory-resources/markets/otc-derivatives/frequently-asked-questions/
Timestamp: 2019-09-21 23:34:55
Document Index: 412449685

Matched Legal Cases: ['art 7', 'art 7', 'art 2', 'art 2', 'art 43', 'art 7', 'art 7', 'art 7', 'art 2']

Frequently asked questions | ASIC - Australian Securities and Investments Commission
These FAQs do not constitute legal advice. You should seek your own professional advice to find out how the ASIC Derivative Transaction Rules (Reporting) 2013, ASIC Derivative Transaction Rules (Clearing) 2015, and ASIC Derivative Trade Repository Rules 2013 and other applicable laws apply to you, because it is your responsibility to determine your obligations.
A range of issues relating to derivative transaction reporting (including FAQs previously published on this page) are now covered in Regulatory Guide 249 Derivative trade repositories and Regulatory Guide 251 Derivative transaction reporting.
1. What is an 'OTC derivative' under the derivative transaction rules (reporting)?
2. I already report my derivative transactions in another jurisdiction. Do I still need to report in Australia? (Superseded)
3. Can a licensed trade repository use or publish derivative trade information?
4. What does 'entered into by the reporting entity in this jurisdiction' mean in the derivative transaction rules (reporting)? (Superseded)
5. When do I need to report information about a reportable transaction or a reportable position?
6. What information do I need to report to identify a non-reporting counterparty and other entities?
7. Can I report more information than is required by the derivative transaction rules (reporting)? (Superseded)
8. Can an Australian regulator access the derivative trade information held by a licensed trade repository?
9. Who do I report to in order to satisfy the reporting requirements of the derivative transaction rules (reporting)?
10. Do end users have to comply with the derivative transaction rules (reporting)?
11. Who is the reporting entity in a fund management situation? (Superseded)
12. How should names of counterparties, beneficiaries and other persons be reported under the derivative transaction rules (reporting) where a single field is used for the reporting of a name and an identifier?
13. How do I report collateralisation?
14. What are the commencement dates for reporting certain information under the derivative transaction rules (reporting)? (Superseded)
15. Upon commencement of the derivative transaction rules (clearing), how are they intended to apply to existing uncleared transactions? (Superseded)
16. How should I report a forward starting cross currency basis swap?
Read the superseded FAQs (superseded FAQs are available here for information purposes only).
1. What is an 'over-the-counter (OTC) derivative' under the derivative transaction rules (reporting)?
The derivative transaction rules (reporting) impose obligations on reporting entities to report information about their transactions and positions in OTC derivatives to a licensed or prescribed trade repository (the reporting obligations): Rule 1.2.5 of the derivative transaction rules (reporting) (Rule 1.2.5 (Reporting)) and RG 251.10.
As described at RG 251.12, Rule 1.2.4 (Reporting) defines an OTC derivative as a derivative (within the meaning of section 761D of the Corporations Act 2001 (Corporations Act)) that is prescribed by the Minister under section 901B (the Ministerial determination) that is not traded:
on a financial market that is:
subject to ASIC supervision under Part 7.2A of the Corporations Act (e.g. ASX 24)
registered by the US Commodity Futures Trading Commission (CFTC) as a ‘designated contract market’ under s5h of the Commodity Exchange Act 1936 (US), or
a ‘regulated market’ as defined in Article 4(1)(21) of the Markets in Financial Instruments Directive 2014/65/EU, or
on certain foreign markets (regulated foreign markets) that ASIC has determined under Rule 1.2.4(3) (Reporting) are subject to sufficiently equivalent requirements and supervision, in terms of market transparency and integrity, to those applying to markets supervised under Part 7.2A, ‘designated contract markets’ or ‘regulated markets’ (see the ASIC Regulated Foreign Markets Determination [OTC DET 13/1145]).
Unless an exemption applies, derivatives (within a class determined by the Minister) traded on facilities that do not fall within the definition of a regulated foreign market, such as swap execution facilities and multilateral trading facilities, are OTC derivatives for the purposes of the derivative transaction rules (reporting) and therefore subject to reporting obligations.
An exemption has been provided to reporting entities in the form of time-limited transitional relief so that derivatives traded on certain additional relevant financial markets (as defined in the relevant exemptions) are also excluded from the definition of ‘OTC derivative’ for the purposes of the derivative transaction rules (reporting) up to (and including) 30 September 2018: see ASIC Corporations (Derivative Transaction Reporting Exemption) Instrument 2015/844.
These time-limited exemptions will apply while ASIC considers whether the financial markets specified in the exemptions are suitable to be regulated foreign markets.
(Updated 23 May 2018)
Read the derivatives transaction rules (reporting)
Read RG 251
Read the Ministerial determination (PDF 216 KB)
Read the ASIC Regulated Foreign Markets Determination [OTC DET 13/1145]
Read ASIC Corporations (Derivative Transaction Reporting Exemption) Instrument 2015/844
Licensed derivative trade repositories are subject to the Corporations Act and the derivative trade repository rules which restrict the use or disclosure of derivative trade data reported to the derivative trade repository: section 904B of the Corporations Act and Part 2.3 of the derivative trade repository rules (Part 2.3 (Trade Repository)).
The operator of a licensed derivative trade repository must create and disclose certain statistical data based on derivative trade information that is retained by the trade repository and was reported to the trade repository under the derivative trade repository rules: Rule 2.3.5 (Trade Repository).
The operator of a licensed derivative trade repository must, for each seven day calendar period commencing from the day the operator first accepts a report of relevant derivative trade information, create certain statistical data from the relevant derivative trade information. The statistical data required to be created is set out in Rule 2.3.5(2) (Trade Repository).
The operator of a licensed derivative trade repository must disclose such statistical data (including certain breakdowns set out in Rule 2.3.5(3) (Trade Repository)) by making the statistical data available at no charge and through a publicly accessible website: Rule 2.3.5(5) (Trade Repository).
The statistical data published by the operator of a licensed derivative trade repository under the derivative trade repository rules must not include derivative trade information which is capable of identifying any counterparty to a derivative transaction: Rule 2.3.5(6) (Trade Repository).
(Updated 19 June 2014)
Read the derivative trade repository rules
A reporting entity must report information about its reportable transactions and reportable positions, and changes to that information, to a licensed or prescribed repository in accordance with Rule 2.2.3 (Reporting) generally no later than the end of the next business day after the requirement to report arises: see RG 251.55–251.56.
(Published 19 June 2014)
Information required to be reported under Rule 2.2.1 (Reporting) to identify a non-reporting counterparty and other entities (Relevant Entities) includes the:
standard identifier (refer below) of both the reporting counterparty and the non-reporting counterparty (items 5 and 7 in Table S2.1(1) and items 4 and 6 in Table S2.2(1) in Schedule 2 (Reporting))
name of both the reporting counterparty and the non-reporting counterparty (items 6 and 8 in Table S2.1(1) and items 5 and 7 in Table S2.2(1) in Schedule 2 (Reporting))
standard identifier and name of certain other entities, such as beneficiary, broker, and clearing member.
Under Part S2.1A (Reporting), the reporting counterparty means, in relation to a report of information about a reportable transaction or reportable position:
where a reporting entity makes the report on its own behalf, that reporting entity, or
where another person makes a report on behalf of a reporting entity, the reporting entity on behalf of which the report is made.
The non-reporting counterparty means the counterparty to the OTC derivative that is not the counterparty making the report.
Where the reporting or non-reporting counterparty is an entity (corporation, partnership, managed investment scheme or trust, but not an individual), the following standard identifiers must be reported:
Legal Entity Identifier (LEI) or interim entity identifier (see RG 251.60–251.62)
if no LEI or interim entity identifier is available for the entity, an international business entity identifier issued by Avox Limited (AVID), or
if no AVID is available, a Business Identifier Code (BIC).
From 1 October 2015 to ‘the Exemption Date’ (refer below) the ASIC Corporations (Derivative Transaction Reporting Exemption) Instrument 2015/844 provides relief for reporting of one of the standard identifiers for non-reporting counterparties and other entities on the condition that an internal client code is reported by the reporting counterparty. This relief is conditional on the reporting counterparty taking best efforts to obtain one of the standard identifiers as soon as reasonably practicable, including by maintaining and following documented procedures for one or both of the following:
(a) requesting that non-reporting counterparties (and other entities as necessary) obtain one of the standard identifiers and provide it to the Reporting Entity;
(b) obtaining one of the standard identifiers on behalf of non-reporting counterparties (and other entities as necessary).
The final day of relief (or ‘Exemption Date’) is:
- 30 September 2019 for non-reporting counterparties that are:
(i) incorporated or formed in this jurisdiction; or
(ii) a non-reporting counterparty to the OTC Derivative to which the Reportable Transaction or Reportable Position relates as the result of a transaction entered into by a branch of the non-reporting counterparty that is located in this jurisdiction;
- otherwise, to 31 March 2020.
LEIs can be obtained either from a domestic or an overseas entity that is accredited or endorsed to issue LEIs, or the local registration agent of such a firm. More information is available on the Global LEI Foundation’s website.
Where the non-reporting counterparty or other entity is an individual, the identifier is a client code assigned by the reporting counterparty: Table S2.1(1) and Table S2.2(1) (Reporting).
Some reporting counterparties have raised concerns with ASIC that one licensed trade repository is unable to populate name information from a standard identifier unless the relevant entity has 'on-boarded' with the licensed trade repository. Accordingly, from 1 October 2015 to 30 September 2020 (inclusive) ASIC Corporations (Derivative Transaction Reporting Exemption) Instrument 2015/844 provides relief from the need to report name information where one of the three standard identifiers above is reported.
Read ASIC Corporations (Amendment) Instrument 2019/169
Global LEI Foundation’s website – “Get an LEI: Find LEI Issuing Organizations”
Contact ASIC if you have a question
Yes. An operator of a licensed trade repository must provide to each of ASIC, the Reserve Bank of Australia and the Australian Prudential Regulatory Authority (each being an Australian regulator) continuous, direct and immediate electronic access (at no charge) to, among other things, derivative trade information retained in the trade repository and reported in accordance with the derivative trade repository rules, if requested by that Australian regulator: Rule 2.3.4(5) (Trade Repository).
The operator of a licensed trade repository is excused from complying with a request from an Australian regulator unless the request is for derivative trade information that is required by the Australian regulator in connection with the performance of its functions or exercise of its powers: Rule 2.3.4(6) (Trade Repository).
From 4 December 2015, all Australian reporting entities (i.e. reporting entities incorporated or formed in Australia) must report to a licensed trade repository. On 15 September 2014, ASIC granted an Australian derivative trade repository (ADTR) licence to DTCC Data Repository (Singapore) Pte Ltd (DDRS). On 23 October 2015 ASIC granted an ADTR licence to Chicago Mercantile Exchange Inc. (CME).
On 25 June 2015, ASIC made a determination (ASIC Prescribed Trade Repositories Determination [15-0591]) prescribing several overseas trade repositories to facilitate the various forms of reporting that allow the use of prescribed repositories.
(Updated 5 January 2016)
Read regulation 7.5A.30 of the Corporations Regulations
Read ASIC Prescribed Trade Repositories Determination [15-0591]
Read ASIC Instrument 14/0912 (PDF 277 KB)
Read ADTR Licence (Chicago Mercantile Exchange Inc.) 2015 [15/910]
Read Australian Derivative Trade Repository Licence (Chicago Mercantile Exchange Inc.) Variation Notice 2015 No. 1 [15/1131]
An end user is a person who is not:
an Australian authorised deposit-taking institution (ADI) (as defined in Rule 1.2.3 (Reporting))
a clearing and settlement facility licensee (as defined in Rule 1.2.3 (Reporting))
an Australian financial services licensee (as defined in Rule 1.2.3 (Reporting)), or
who provides a financial service, relating to derivatives, only to wholesale clients, and
whose activities, relating to derivatives, are regulated by an overseas regulatory authority.
Under the Corporations Act and the Corporations Regulations, end users do not have to comply with the reporting requirements.
This is as a result of section 901D of the Corporations Act, which permits the Corporations Regulations to provide that the derivative transaction rules (reporting) cannot impose requirements on certain classes of persons. Regulation 7.5A.50 of the Corporations Regulations provides that:
the class of persons on whom the derivative transaction rules (reporting) cannot impose requirements includes end users (the end-user exemption), and
the derivative transaction rules (reporting) cannot impose requirements relating to a class of derivatives on Australian financial services (AFS) licensees, who are taken not to be end users only because they are AFS licensees and whose AFS licences do not authorise them to provide financial services in relation to that class of derivatives.
(Updated 5 January 2015)
Read regulation 7.5A.50 of the Corporations Regulations
Certain items of derivative transaction information and derivative position information in the tables in Parts S2.1 and S2.2 of the derivative transaction rules (reporting) require reporting of the names of counterparties, beneficiaries and certain other persons to the reportable transaction or reportable position. The relevant table references and item numbers are as follows:
Table S2.1(1), items 8, 11, 16 and 20
Table S2.1(3), items 2, 4 and 6
Table S2.1(5), items 7, 9 and 11
Table S2.2(1), items 7, 9 and 16
Table S2.2(3), items 2, 4 and 6, and
Table S2.2(5), items 6, 8 and 10.
There are also associated requirements to report identifiers for these persons. The relevant table references and item numbers for the identifier information are as follows:
Table S2.1(1), items 7, 10, 15 and 19
Table S2.1(3), items 1, 3 and 5
Table S2.1(5), items 6, 8 and 10
Table S2.2(1), items 6, 8 and 15
Table S2.2(3), items 1, 3 and 5,and
Table S2.2(5), items 5, 7 and 9.
From 1 October 2015 to 30 September 2018 (inclusive) ASIC Corporations (Derivative Transaction Reporting Exemption) Instrument 2015/844 provides reporting entities with relief from the requirement to report the entity identifiers listed above if these entity identifiers are not available for the relevant entity. A reporting entity that relies on the relief must instead report the internal entity identifier used by the reporting entity: see FAQ 6. Where a single field is used for reporting of an identifier and a name, the names of the counterparty, beneficiary or other person should be concatenated together with the identifier, using the following format:
[identifier][delimiter character][name of counterparty or beneficiary]
A reporting entity may utilise one of five special characters ( , ) ( ; ) ( : ) ( - ) ( | ) as a delimiter. ASIC's preference is that reporting entities use a dash (-) as the delimiter character. No spaces should be added on either side of the delimiter.
For example, where a reporting entity has a reportable transaction or reportable position with a counterparty AB Company Pty Ltd (with an internal reference number for the counterparty of 123456 that is able to be utilised by the reporting entity for reporting purposes) the string to be reported by the reporting entity is: 123456-AB Company Pty Ltd.
(Published 1 July 2015)
Q: Information that is required to be reported under Rule 2.2.1 (Reporting) includes requirements to report a notation to indicate:
whether the reportable transaction is collateralised by one or both counterparties to the reportable transaction under item 40 in Table S2.1(1) in Schedule 2 (Reporting), and
whether the reportable position is collateralised by one or both counterparties to the reportable transaction under item 27 in Table S2.2(1) in Schedule 2 (Reporting).
Differences exist between what is required in the equivalent collateralisation field for entities that are required to report in accordance with European Union Regulation No 148/2013 (EMIR) and associated Level 1 Validation Rules published by European Securities and Markets Authority (jointly ESMA OTC reporting regime) and entities that are required to report in accordance with Part 43 of the Commodity Exchange Act 1936 (US) (CFTC OTC reporting regime).
Is it acceptable to report values in the collateralisation fields that are in accordance with the ESMA OTC reporting regime or the CFTC OTC reporting regime?
A: The derivative transaction rules (reporting) do not specify in detail what needs to be reported in the collateralisation field. Consequently, ASIC will accept values in the collateralisation field that are either in accordance with the ESMA OTC reporting regime or the CFTC OTC reporting regime.
(Published 23 November 2015)
Certain items of derivative transaction and position information in Parts S2.1 and S2.2 of the derivative transaction rules (reporting) require reporting of the notional amount for leg 2 of an OTC derivative transaction that is an interest rate derivative. The relevant table references and item numbers are:
Table S2.1(5), item 2
Table S2.2(5), item 2
Where an OTC derivative transaction for a derivative that is a forward starting cross currency basis swap, it is common for the notional amount of leg 2 to be agreed at a future time, being the actual start date of the cross currency basis swap.
Until that time, it will not be possible for the notional amount for leg 2 to be reported for derivative transaction or position information. In this situation, it is permissible not to report a notional amount for leg 2 until the time the notional amount for leg 2 has been agreed.
(Published 22 November 2016)
Superseded FAQs
The FAQs below have been superseded and are provided here for information purposes only.
Read the superseded FAQs
SUPERSEDED FAQ 1. Do transactions on foreign markets need to be reported?
Rule 1.2.4 (Reporting) defines an ‘OTC derivative’ as a derivative in the prescribed class that is not traded on a financial market subject to ASIC supervision under Part 7.2A of the Corporations Act or on certain foreign markets that are subject to sufficiently equivalent requirements, in terms of market transparency and integrity, as markets supervised under Pt 7.2A. We are in the process of making a determination of the foreign markets that we consider meet this criterion and will publish the determination on our website.
(Published 6 September 2013. Superseded 19 June 2014)
The derivative transaction rules (reporting) impose obligations on reporting entities to report information about their transactions and positions in OTC derivatives to a licensed or prescribed trade repository (the reporting obligations): Rule 1.2.5 (Reporting) and RG 251.10.
As described at RG 251.12, Rule 1.2.4 (Reporting) defines an OTC derivative as a derivative (within the meaning of section 761D of the Corporations Act) that is prescribed by the Ministerial determination that is not traded:
on a financial market subject to ASIC supervision under Part 7.2A of the Corporations Act (e.g. ASX 24), or
on certain foreign markets (regulated foreign markets) that ASIC has determined under Rule 1.2.4(3) (Reporting) are subject to sufficiently equivalent requirements and supervision, in terms of market transparency and integrity, to those applying to markets supervised under Part 7.2A of the Corporations Act.
An exemption has been provided to Phase 1 and Phase 2 reporting entities in the form of time-limited transitional relief so that derivatives traded on certain additional relevant financial markets (as defined in the relevant exemptions) are also excluded from the definition of ‘OTC derivative’ for the purposes of the derivative transaction rules (reporting) up to (and including) 2 March 2015: ASIC Special Gazette A45/13 and ASIC Instrument [14/0234]. These time-limited exemptions will apply while ASIC considers whether the financial markets specified in the exemptions are suitable to be regulated foreign markets.
(Updated 19 June 2014. Superseded 13 February 2015)
SUPERSEDED FAQ 2. I already report my derivative transactions in another jurisdiction. Do I still need to report in Australia?
If you are a reporting entity that is an Australian entity, or a responsible entity (RE) or trustee acting in its capacity as RE or trustee of an Australian entity, you will need to comply with the Australian reporting requirements under the derivative transaction rules (reporting). Where:
a reporting entity is incorporated or formed in another jurisdiction
there is a prescribed repository in that jurisdiction, and
the reporting entity or another entity reports information about a reportable transaction or reportable position to the prescribed repository in accordance with a substantially equivalent reporting obligation in that jurisdiction, or
the reporting entity is exempt in that jurisdiction from the reporting obligation in relation to a reportable transaction or reportable position, or there is no reporting obligation in that jurisdiction in relation to a reportable transaction or reportable position,
the reporting entity is not required to comply with the reporting requirements set out in the derivative transaction rules (reporting) in relation to that reportable transaction or reportable position: see Rule 2.2.1(3).
If you are a reporting entity that is an Australian entity, or a RE or trustee acting in its capacity as RE or trustee of an Australian entity, you will need to comply with the Australian reporting requirements under the derivative transaction rules (reporting). Where:
either the reporting entity:
or another entity reports information about a reportable transaction or reportable position to the prescribed repository in accordance with a substantially equivalent reporting obligation in that jurisdiction, or
is exempt in that jurisdiction from the reporting obligation in relation to a reportable transaction or reportable position, or there is no reporting obligation in that jurisdiction in relation to a reportable transaction or reportable position,
the reporting entity is not required to comply with the reporting requirements set out in the derivative transaction rules (reporting) in relation to that reportable transaction or reportable position: Rule 2.2.1(3) (Reporting).
The jurisdictions that we consider have implemented reporting requirements that are substantially equivalent to the reporting requirements that would otherwise apply to a reporting entity in relation to a reportable transaction or a reportable position under the derivative transaction rules (reporting) are the European Union (in respect of European Market Infrastructure Regulation (EMIR) reporting rules), the United States (in respect of the CFTC reporting rules) and Japan.
Other jurisdictions that ASIC expects will implement reporting requirements that are substantially equivalent to the reporting requirements under the derivative transaction rules (reporting) are Hong Kong, Singapore and Canada.
(Updated 19 June 2014. Superseded February 2015 by incorporation into RG 251)
SUPERSEDED FAQ 3. Will trade repositories be able to make any of my transaction reporting data public?
Derivative trade repositories that are licensed by ASIC are subject to the Corporations Act and the derivative trade repository rules which restrict the use or disclosure of derivative trade data reported to the derivative trade repository: see s904B of the Corporations Act and Part 2.3 (Trade Repository).
Under the derivative trade repository rules, licensed ADTRs are required to make certain aggregated data publicly available on a post-trade basis. Specifically, Australian derivative trade repository licensees must create and publish statistical data weekly, and make this statistical data publicly available on a website for free. The statistical data must disclose aggregate information about open positions and reporting volumes. The statistical data must not disclose the identity of any counterparty: see Rules 2.3.5 and 2.3.6 (Trade Repository).
A licensed ADTR may only use or disclose your derivative trade data where you have given consent for that derivative trade data to be used and disclosed, or otherwise only in accordance with the Corporations Act, derivative transaction rules (reporting), derivative trade repository rules or any other law of the Commonwealth or of a state or territory. A trade repository may not require consent as a condition of access, and may not offer any incentives or benefits to induce or attempt to induce consent unless that incentive or benefit is reasonably related to the value to the licensed ADTR of using or disclosing the derivative trade data: see Rule 2.3.3 (Trade Repository).
SUPERSEDED FAQ 4. What does 'entered into by the reporting entity in this jurisdiction' mean in the derivative transaction rules (reporting)?
Rule 1.2.5(1) (Reporting) states that a foreign ADI that has a branch located in this jurisdiction, or a foreign company that is required to be registered under the Corporations Act, is a reporting entity under the derivative transaction rules (reporting). For these entities, reportable transactions under the derivative transaction rules (reporting) are all OTC derivatives:
booked to the profit or loss account of a branch of the reporting entity located in Australia, or
entered into by the reporting entity in this jurisdiction.
See Table 1, items 3 and 4 of Rule 1.2.5 (Reporting) and Rule 2.2.1 (Reporting).
The ordinary principles of Australian contract law apply to this provision of the derivative transaction rules (reporting).
Under Australian law a contract is entered into in the place where the acceptance of the offer to enter into the contract is received, where an instantaneous form of communication is used to communicate the acceptance.
It is the responsibility of a counterparty to an OTC derivative to determine whether a reporting obligation on the part of the counterparty arises under the derivative transaction rules (reporting).
(Published 6 June 2014. Superseded 13 February 2015 by incorporation into RG 251)
SUPERSEDED FAQ 6. How do I identify a counterparty when I report counterparty information?
Information that is required to be reported under Rule 2.2.1 (Reporting) includes the identifier of both the reporting counterparty and the non-reporting counterparty: items 5 and 7 in Table S2.1(1) and items 4 and 6 in Table S2.2(1) (Reporting).
Under Part S2.1A (Reporting), the reporting counterparty is, in relation to a report of information about a reportable transaction or reportable position:
The non-reporting counterparty is the counterparty to the OTC derivative that is not the counterparty making the report.
Where the reporting and non-reporting counterparty is an entity (which includes a corporation, partnership, managed investment scheme or trust, but not an individual), the identifier is:
an LEI or interim entity identifier (see RG 251.60–251.62)
if no LEI or interim entity identifier is available for the entity, an ABN, or
if no ABN is available, a BIC.
Where the reporting or non-reporting counterparty is an individual, the identifier is a client code assigned by the reporting counterparty: Table S2.1(1) and Table S2.2(1) (Reporting).
(Published 19 June 2014. Superseded 14 November 2014)
Information that is required to be reported under Rule 2.2.1 (Reporting) includes:
the identifier of both the reporting counterparty and the non-reporting counterparty (items 5 and 7 in Table S2.1(1) and items 4 and 6 in Table S2.2(1) in Schedule 2 (Reporting))
the name of both the reporting counterparty and the non-reporting counterparty (items 6 and 8 in Table S2.1(1) and items 5 and 7 in Table S2.2(1) (Reporting)), and
the identifier and name of certain other entities, such as beneficiary, broker, and clearing member.
Where the reporting or non-reporting counterparty is an entity (which includes a corporation, partnership, managed investment scheme or trust, but not an individual), the rules require the following entity identifiers to be reported:
Some reporting entities have raised concerns with ASIC that the licensed trade repository is unable to accept an ABN as an entity identifier, and that there are currently limitations on the licensed trade repository's ability to accept or generate ‘name’ information.
Accordingly, from 1 October 2014 to 30 September 2015 (inclusive) ASIC Instrument [14/0952] provides reporting entities with relief from the requirement to report the entity identifiers listed above. A reporting entity that relies on the relief must instead report using the following hierarchy of identifiers, consistent with the entity identifier waterfall developed by ISDA:
an LEI, CFTC Interim Compliant Identifier (CICI) or interim entity identifier
if none of the identifiers listed in (1) are available, the entity identifier issued by the trade repository to which the derivative transaction or derivative position has been reported, an AVID or BIC, or
if none of the identifiers listed in (1) or (2) are available for the entity, the internal entity identifier used by the reporting entity.
Further, from 1 October 2014 to 30 September 2015 (inclusive), ASIC Instrument [14/0952] also provides relief to reporting entities from the requirement to report the name of the reporting entity and reporting counterparty in the case where the trade repository to which the reportable transaction or reportable position is to be reported, is:
unable to accept name information, or
unable to populate the name information using the identifier reported by the reporting entity.
However, from 1 July 2015, the relief ceases to apply in the case where the trade repository to which the reportable transaction or reportable position is to be reported is able to accept name information.
(Updated 14 November 2014. Superseded 13 February 2015)
SUPERSEDED FAQ 7. Can I report more information than is required by the derivative transaction rules (reporting)?
Yes. The derivative transaction rules (reporting) do not prohibit a reporting entity from reporting information about a reportable transaction or reportable position (as defined in the derivative transaction rules (reporting)) that is in addition to the information required by the derivative transaction rules (reporting). An example of additional information is information that is required to be reported under the derivative transaction reporting requirements of another jurisdiction.
However, in doing so a reporting entity should consider the terms of section 907C of the Corporations Act. Section 907C provides, among other things, that if a person (protected person) provides derivative trade data to another person and the protected person does so, in good faith, in compliance with a requirement imposed by or under the derivative transaction rules (reporting), the protected person is not liable to an action or other proceeding, whether civil or criminal, for or in relation to that conduct.
(Published 19 June 2014. Superseded 13 February 2015 by incorporation into RG 251)
SUPERSEDED FAQ 9. Who do I report to in order to satisfy the reporting requirements of the derivative transaction rules (reporting)?
Regulation 7.5A.30 of the Corporations Regulations prescribes a number of trade repositories that can be used to meet Australian trade reporting obligations until 30 June 2015, subject to the facility being registered to operate as a trade repository under a law of a foreign jurisdiction.
(Published 4 July 2014. Superseded 1 December 2014)
Section C of RG 251 gives guidance on which trade repositories derivative trade data must be reported to. Section C also contains a list of prescribed trade repositories.
(Updated 19 June 2014. Superseded 4 July 2014)
SUPERSEDED FAQ 11. Who is the reporting entity in a fund management situation?
Situation 1: A fund manager enters into an OTC derivative as agent of an Australian managed investment scheme or an Australian trust.
If a fund manager enters into an arrangement that is an OTC derivative as agent on behalf of:
an RE of an Australian managed investment scheme; or
a trustee of an Australian trust,
the RE or trustee is the reporting entity in relation to that reportable transaction for the purposes of the derivative transaction rules (reporting): Rule 1.2.5(2) (Reporting).
Situation 2: An Australian entity (e.g. an Australian fund manager) enters into an OTC derivative as principal.
If an Australian entity (e.g. an Australian fund manager) enters into an arrangement that is an OTC derivative as a principal, then the Australian entity is the reporting entity in relation to that transaction.
SUPERSEDED FAQ 14. What are the commencement dates for reporting certain information under the derivative transaction rules (reporting)?
On 27 June 2014, ASIC made Class Order [14/0633] Transitional exemptive relief for Phase 3 Reporting Entities from elements of the ASIC Derivative Transaction Rules (Reporting) 2013. This instrument commenced on 1 October 2014 and granted transitional exemptive relief for Phase 3 reporting entities by providing for a staggered and delayed start to Phase 3 of the OTC derivative transaction reporting obligations under the derivative transaction rules (reporting).
ASIC subsequently made ASIC Corporations (Derivative Transaction Reporting) Amendment Instrument 2015/0925 which amended [14/0633], with effect from 9 October 2015, by delaying the commencement of Phase 3B of the derivative transaction rules (reporting).
The effect of these instruments was to delay the commencement dates of certain reporting requirements for Phase 3 entities, as set out in the table below.
Phase 3A reporting entities
Phase 3B reporting entities
Interest rate and credit
Forex, equity and commodities
Reporting of valuation, barrier and collateral information*(field names)
*Derivative transaction information in Table S2.1(1) of the derivative transaction rules (reporting) about a reportable transaction or outstanding position in an exempt derivative:
Items 30–32 (mark-to-market, mark-to-model, or other valuation)
Items 40–44 (collateral), and
Items 51–52 (barrier type and value).
Note: The relief provided does not prevent entities that are ready to report from commencing reporting at an earlier date. Entities may be required to commence reporting at an earlier date if they have provided ASIC with an opt-in notice.
(Published 1 April 2016. Superseded 24 May 2018.)
15. Upon commencement of the derivative transaction rules (clearing), how are they intended to apply to existing uncleared transactions?
Q: ASIC indicated that the derivative transaction rules (clearing) are not intended to include a ‘backloading’ requirement in Consultation Paper 231 Mandatory central clearing of OTC interest rate derivative transactions: see paragraphs 57–58. Rule 2.1.1(1) of the derivative transaction rules (clearing) imposes a clearing obligation on ‘clearing transactions’ which are defined with reference to the ‘entry’ into a clearing derivative by a clearing entity. Can entities imply that the derivative transaction rules (clearing) only apply at the point in time a clearing derivative is entered into?
A: The derivative transaction rules (clearing) apply to clearing transactions that are entered into following the commencement of the derivative transaction rules (clearing). It is correct that there is no backloading requirement to clear existing trades entered into before the commencement of the derivative transaction rules (clearing).
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Last updated: 13/02/2015 12:00