Entities that are subject to the reporting requirement, namely both financial counterparties pursuant to Article 2(8) EMIR as well as non-financial counterparties pursuant to Article 2(9) EMIR (regardless of whether the clearing threshold was exceeded or not), shall, pursuant to Article 9 EMIR, report the details of concluded derivative trades and of any modification or termination of the derivative contracts to a trade repository no later than the working day following the conclusion of the trade. In addition, financial and non-financial counterparties exceeding the clearing threshold are required to report updates about collateral and valuation of the derivative contract. This latter reporting requirement does not apply to non-financial counterparties below the clearing threshold.
Derivative contracts required to be reported
Derivative contracts that are required to be reported are all instruments listed in Annex I Section C nos. 4 to 10 MiFID II, regardless of whether the contract was concluded at a trading venue or not.
Trade repositories
The following trade repositories are authorised by ESMA to fulfil the EMIR reporting obligations, directly supervised by ESMA (see ESMA list of registered TRs):
Submission of the report
The submission of the report may be outsourced to a third party, although responsibility for the correctness of the report always however remains with the entity that is required to make the report. In the case of mandatory delegation for derivative contracts between financial counterparties and nonfinancial counterparties below the threshold the responsibility lies with the financial counterparty pursuant to Art. 9(1) EMIR, unless the counterparties agreed otherwise.
The revised Technical Standards were published in 7 Oct. 2022 and are applicable since 29 April 2024.
Pursuant to Article 3 of the ITS, the reporting to one of the trade repositories shall include a Legal Entity Identifier (LEI) in accordance with ISO 17442 by both parties involved, i.e. the reporting party as well as by any legal person mentioned in the reporting.
A list of all the Local Operating Units (LOUs) active on a cross-border basis can be found here.
Notification on DQ issues
Pursuant to Art. 9 of the Del. Reg. (EU) 2022/1860 (ITS) the entity responsible for reporting (ERR) has to notify its Competent Authority and the Competent Authority of the reporting counterparty about any misreporting caused by flaws in the reporting system, any reporting obstacle, preventing the report submitting entity from sending reports or any significant issue resulting in reporting errors.
The relevant template for such notifications can be found here: https://www.esma.europa.eu/sites/default/files/library/esma74-362-2683_emir_refit_validation_rules_reconciliation_tolerances_and_template_for_notifications_of_dq_issues.xlsx
In the case of the FMA being the Competent Authority such notifications need to be sent via email to [email protected]. Please take note, that the filename and the subject of the email has to be constructed as follows: “DQ notification template_LEI of ERR_ID of the notification.xlsx”.
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