European Securities and Markets Authority (Esma)
This Week: BNP/AccessFintech, Broadridge/Glue42, Omega/TNS and more
A summary of the latest financial technology news.
Banks express concern over top venues’ bid for EU consolidated tape
End-users are worried about the repercussions of handing over a data monopoly to the heavyweight operators in the fixed income space.
Industry mulls identifier schema for digital assets
As crypto markets face a reckoning in the wake of the FTX scandal, standard-setters and industry participants say identifiers for tokens are key for the industry’s stability.
Bloomberg, MarketAxess, Tradeweb probe three tech partners for consolidated tape bid
Venue-led consortium plans to pick a winner before EU regulators begin tender process – anticipated in third or fourth quarter of 2023.
Fees rise and questions linger as Esma ramps up analytics capabilities
The EU regulator’s expanded supervisory powers and big data capabilities have caused some confusion on how the data will be used and how Esma’s new role will shape reporting regimes.
More trading venues face extra supervision under FCA plan
“Woolly” rules fuel concern that bulletin boards and tech providers could be swept in
UK divergence on trading venue perimeter threatens more costs and a complex compliance landscape
The FCA is in the middle of a tug of war over the definition of a trading venue. Will it diverge in a bid to present itself as a competitive market internationally or align with its EU partners?
Pick a lane: Anna DSB to rival CDM coded swaps reporting?
Dual machine-executable rules are set to create choice—and maybe bifurcation—for swaps reporting
Finos will host common domain model for Isda, Isla and Icma
The non-profit will provide a neutral, open-source repository to help the trade associations govern and maintain the CDM.
Top three fixed income venues confirm bid to deliver EU consolidated tape for bonds
Bloomberg, MarketAxess and Tradeweb will join forces to create an independent company and will submit a request for information in search for a third-party vendor to partner with.
Mifid data vendors face 4,000% supervisory fee hike
‘Cost of Esma’ crisis for largest European regulated data reporting and publishing firms.
EU trading venue definition could crush innovation, say bank execs
Firms worry that regulating a broader net of firms could unravel progress in fixed income electronification and raise costs for market participants
Dutch sandbox aims to broker EU consolidated tape
As data quality issues are a main impediment to a viable consolidated tape in Europe, Dutch regulator AFM has helped develop pilots in its Innovation Hub sandbox.
Asset managers seek greater transparency into ESG index providers’ ratings
While there is no consensus on whether ESG ratings providers should be regulated, asset managers largely agree that more transparency into their vendors’ methodologies is needed.
SEC sets its sights on fixed-income platforms with Reg ATS revamp
US regulator’s mammoth January proposal has something in it for most US trading systems, but Jo suspects it will be the definitions of exchanges that hit the hardest.
New regulation forces UK banks to scrutinize cloud
Firms say changing SLAs and getting required information from vendors like AWS, Azure and Google Cloud is a heavy burden.
People Moves: Cboe, Esma, ASIC, State Street, NeoXam, and more
A look at some of the key people moves from this week, including Erik Thedéen (pictured), who has been appointed vice chair of Esma.
Waters Wrap: An EU consolidated tape—a story of market data costs & reality
After the European Commission released its proposal for an EU consolidated tape last week, Anthony explores some of the unanswered questions that still linger and what the greatest roadblocks appear to be.
Nasdaq rolls out new fixed-income trade surveillance alerts
The vendor is introducing additional alerts for trade surveillance to help tailor its solution for OTC fixed income.
Top venues mull offering joint EU consolidated tape for bonds
Market participants worry a venue-led CT could be of low quality, with CT data used to create expensive additional products.
People Moves: Calastone, Securitize, Esma, State Street and more
A look at some of the key people moves from this week, including Ahsan Raza (pictured), who has joined Calastone as chief financial officer.
Definition of a trading venue: Reg review risks ensnarling tech vendors
Industry participants are divided over the definition of a trading venue and how regulators should revise the regulatory framework.
UnaVista SFTR closure casts doubt on viability of reg reporting
The decision to shutter the service is another blow to the industry and the business case of reg reporting under SFTR.
Waters Wrap: On outages, teamwork & greed (And ESG innovation & consultants)
Anthony examines a proposed protocol in Europe that would help keep liquidity flowing if there’s a major exchange outage. He also discusses innovation in the realm of ESG, and Esma’s new data analytics platform.