CME Global Repository Services Client Q&A

The following information is provided to answer any immediate questions that our clients may have surrounding the wind down of CME European Trade Repository and CME Australian Trade Repository. This list is not exhaustive, and we ask that any additional questions surrounding the wind down are directed to your regular contact(s) or emailed to repositorysupport@cmegroup.com.

General

 

1.  Why is CME shutting down a number of its Trade Repositories?

Following an evaluation of our business portfolio after the acquisition of NEX Group in November 2018, we made the difficult decision to wind down the Abide Financial, NEX Regulatory Reporting businesses and our European and Australian Trade Repositories. This is part of our regular practice of assessing our holdings to align with our businesses and operating strategy.

2.  Are all CME Trade Repositories impacted?

Not all CME Trade Repositories are impacted. CME’s two EU (EMIR) Trade Repositories, CME Trade Repository Limited (trading as CME European Trade Repository (CME ETR)) in the UK and NEX Abide Trade Repository AB (NATR) in Sweden, along with CME’s Australian TR (CME ATR) are being wound down. 

CME’s US Swap Data Repository (SDR) (CFTC) and Canadian Trade Repository (CTR) will remain in full operation with no change in service. 

3.  When is the last date of service by the affected TRs?

We expect that the wind down process will be completed by 30 November 2020.  In setting this timeframe, we have taken into account the needs of our clients to have sufficient time to transition to a new provider.

We recognise that clients will need to transition to new providers as soon as possible to ensure continued compliance with their regulatory requirements and we will work to facilitate and support our clients through this process.

4.  How will CME be helping me through this?

CME will work with our clients throughout the wind-down process to ensure a cessation of operations and to facilitate the transition of our clients to an alternative Trade Repository.  Our relationships with our clients and client service are always our priority at CME Group and that doesn’t change with this announcement.

5.  How can I add other key contacts for CME to send updates and notices to?  [Added 29 May 2020]

CME is requesting all pertinent business, operations and legal/compliance contacts to be provided so as to be included for all updates and notices.  If you are aware of or suspect that a person is not on our contact list for your firm, then please supply that information to repositorysupport@cmegroup.com or your normal business contact. 

Data Access


6.  Will I be able to continue to access my data after the Trade Repository is wound down? 

Upon completion of CME’s wind down of CME ETR and CME ATR, the data will no longer be accessible through CME.  All applicable data will have been moved to an alternative Trade Repository selected by TR Users (or, in the case of CME ETR, selected by CME if a User has yet to port before the backstop porting initiative).  Users should access data from the relevant recipient TR following the porting of their data. 

7.  Is it possible to obtain a copy of all the data reported by or for me to CME ETR or CME ATR?

Yes, CME will accommodate all such data requests made in writing (to repositorysupport@cmegroup.com) and will be fulfilled within 30 days of request.  Data will be provided in a CME specified data layout in CSV format.  The final date for a request of a copy of data reported for active registered clients is 30 October 2020.  Requests for a copy of data may only be made by active registered TR clients.              

8.  Who can request a copy of the data held at CME ETR or CME ATR?

Any firm registered with the relevant TR that is acting as the reporting entity, reporting party or asset manager may be able to request this information. The request should be provided from the verification officer registered with the relevant TR. 

Data Submission
 

9.  When should I stop reporting to CME ETR and/or CME ATR?

For clients that have chosen an alternative TR to port their data to, reporting to CME ETR and CME ATR must be completed by Friday 23:59:59 UTC before the relevant porting weekend (see Q9 below).

For backstop porting and remaining clients who have not previously directed their porting to an alternative TR, final reporting to CME ETR and CME ATR must cease by 23:59:59 UTC on 13 November 2020.

10.  Why does CME ETR have a backstop porting process and how does it work?

The backstop porting process is designed to facilitate the transfer of CME ETR client data to a relevant alternative EU registered trade repository selected by CME. Under the backstop porting process that selected trade repository will accept the transfer of such data for those CME ETR clients that have not ported their own data to a successor trade repository prior to the final deadline determined by CME.  

CME ETR will transfer the data over one or more phases and will notify the client of the selected trade repository to establish a relationship for retrieving the data and on-going reporting for open trades and positions.

CME ATR does not intend to transfer or port data on behalf of customers to an alternative ASIC trade repository. It is the responsibility of CME ATR customers to ensure their reporting of data for open trades and positions is transferred to an alternative ASIC trade repository prior to the deadline determined by CME (see Q11 below).

11.  How do I ensure that my recent data submissions have been made available to the relevant regulator?

Clients can confirm that submitted data has been sent to the relevant regulator by accessing the CME ETR or CME ATR User portal or viewing reports.  Data that appears in the TR system is all made available to the relevant regulatory authorities.

Data Transfer/Porting


12.  How do I transfer my data to my selected new TR?

[Updated 3 August 2020]

The process for porting to a new TR is established under ESMA’s ‘Guidelines on portability of data between Trade Repositories’ and covers both the transfer of data due to a withdrawal of TR registration and also voluntary requests from a TR participant.  In both instances these guidelines must be adhered to. In this instance, the process will follow the transfer of data due to a withdrawal of TR registration:

ESMA Porting Key Steps (from ESMA Portability Guidelines):

  • Transfer of data should comprise of all details of reported to the TR. Data includes last version of outstanding trades and positions (voluntary porting segment) and lifecycle + historical data (withdrawal porting segment).
  • CME TR Client (referred to as  Trade Repository Participant in ESMA Portability Guidelines) (TRP) to select new EMIR Trade Repository (New TR).
  • CME TR Client Request to submit requested by TRP to Old TR (CME ETR) to port open, lifecycle and historical TRP’s data to New TR.
  • Old TR and New TR to agree upon date of porting (on a best effort basis) in line with client’s TRP’s guidance.
  • Outstanding data (trades/positions) counts to be confirmed with client TR P, Old TR and New TR for outstanding and historical data (trades/positions) counts.
  • Portability document (provided by CME ETR) to be executed between client TR P, Old TR and New TR
  • Porting of outstanding data must takes place over a weekend. Once the data has been confirmed the historical data to be ported shortly thereafter (likely same day or following week).

** Porting is ONLY allowed in accordance with ESMA Portability Guidelines and the supporting procedures created by EMIR TRs.  Cancelling data with CME ETR and re-reporting to the new EMIR TR is strictly prohibited. **

For EMIR data (CME ETR)

All data transfers will be performed by CME ETR to the relevant recipient TR following ESMA mandated portability guidelines (as shown below) on withdrawal porting.  This process begins by contacting CME at repositorysupport@cmegroup.com and discussing preferences on TR and timing. Until such time the porting out (transfer of data) has been carried out to a new TR, the existing agreement with the TR remains.  [Updated 29 May 2020]

ESMA Portability Guidelines:

  • Transfer of data should comprise of all details of reported to the TR
  • Trade Repository Participant (TRP) to select new EMIR Trade Repository.
  • Request to be submitted by TRP to old TR (CME ETR) to port TRP’s data to new TR.
  • Old TR and new TR to agree upon date of porting (on a best effort basis) in line with TRP’s guidance.
  • Trade counts to be confirmed with TR P, Old TR and New TR for outstanding and historical trade counts.
  • Portability document to be executed between TR P, Old TR and New TR
  • Porting of outstanding data takes place over a weekend. Once the data has been confirmed the historical data to be ported shortly thereafter.

For ASIC data (CME ATR)

Open trades /positions held in CME ATR should be terminated with (Action=”Terminate” and Event=”Portout”) by the client (CME recommends Fridays) following completion of life cycle reporting for the day and reported to their chosen TR on the next good business day (CME recommends Mondays). This should be done as new records using the same Unique Trade Identifier (UTI) reported to CME ATR.

13.  What data will be transferred to the new TR?

For EMIR data transfers, it will include all historical data (inclusive of lifecycle and rejection reports) and open positions data. 

For ASIC, historical data will not be required to be transferred to a new TR.  Open trades/position must be reported by the client (or its designed reporting service provider) to the new TR.

13.  Will there be a migration schedule made available?

[Added 29 May 2020]

CME ETR clients are requested to share with CME their selected new TR, any new or changing delegated reporting service provider(s) and preferred porting weekends.  CME ETR will work with clients and the selected TRs on the available porting dates.  Prioritization for a will generally be on a first come/ first served based on availability provided by the selected new TR.  CME will further balance clients for a given weekend based on any volume processing constraints. As part of the process a portability form between CME TR, new TR and client (or their reporting vendor, if applicable) specifics related to the data statistics and coordination will be captured in a client specific migration plan.

14.  For EMIR, do my open trades need to be updated to the current RTS to be ported?

Yes, ETR clients (or delegated reporting service providers) must ensure that all outstanding trades to be transferred meet the latest RTS requirements.  Data not meeting these requirements for a given entity (LEI) will limit the ability to port for the entirety of that entity until resolved.  

15.  For EMIR, will pre-RTS historical (closed) data records need to be updated to the current RTS prior to the port?

Pre-RTS historical records do not have to be updated to the current RTS and will be sent to the new TR “as-is”.

16.  When can I begin to move my data/positions to a new TR? 

CME recommends that firms initiate their moves as early in the six-month wind-down period as possible to avoid timeline back end congestion and priority with any vendor aiding in the process. Transfers should take place no later than 15 November 2020. 

For CME ETR, any firm who has not initiated and completed their move to a new alternative EMIR Trade Repository by 15 November 2020 will become part of the CME ETR backstop porting phase.

CME ATR does not intend to transfer or port data on behalf of customers to an alternative ASIC trade repository.

17.  Does CME recommend a TR?

[Updated 3 August 2020]

CME does not recommend any specific TR. We will work with our clients to help them transition their reporting to their chosen TR, regardless of the destination.

Alternative TR resources and contact details:

DTCC:

  1. To get started, contact: GTR-EMEA@dtcc.com
  2. For Account setup: GTR-Onboarding@dtcc.com
  3. For UAT (testing) support: GTRUATsupport@dtcc.com
  4. For Production support: GTRSupport@dtcc.com

GTR Client Support:

  • Europe and UK +44-20-7136-6328
  • GTR Dial-in Tips:
  • GTR Onboarding: Option 3, then 1, then 1
  • GTR UAT (Testing): Option 3, then 1, then 3
  • GTR Production Support: Option 3, then 3, then 1

ICE:

KDPW:

Regis:

Unavista:

  • Resource page available by clicking here

18.  How long does the porting process take?

For EMIR data transfers, a tri-party porting form is involved which can typically take two to four weeks to arrange and complete.  Technical integration to a new TR will depend on the client and new TR.

For ASIC, data is not transferred by CME ATR to the new TR.  See Question 12 for more details.

19. Will testing with the New TR be available ahead of the port? 

[Added 29 May 2020]

Client seeking to test will need to initiate discussion with the new TR to discuss testing for their ongoing reporting requirements.  

20. How long will CME Trade Repositories hold the data following the termination of relevant contracts? 

[Added 29 May 2020]

For CME ETR, as per EMIR guidelines and instructions by ESMA, all data with be destroyed following cessation of TR activities and completion of its licence withdrawal.  The EMIR data retention obligations for a given contract will be transferred to the new TR thereafter.  

For CME ATR, data will be retained for a short period following cessation of TR activities for ASIC’s purposes and then destroyed.  Clients seeking access to data must retrieve data prior to termination of its registration with ATR.  

21.  What options do I have to determine my porting instructions?

[Added 29 May 2020]

CME Trade Repositories supports porting instructions organized by either Reporting Party (counterparty to the trade) or Reporting Entity (submitter). 

22.  For EMIR, do I have to follow porting guidelines or can I terminate with CME and report to the new TR? 

[Added 29 May 2020]

CME ETR is being wound down and porting occurring under the ‘withdrawal porting scenario’ within ESMA Guidelines on Transfer of data between Trade Repositories which includes “Furthermore, to ensure the achievement of the objectives included in Section 30, there is the need to establish a controlled and fully traceable process with the minimum number of error-prone links or stages. Therefore, ESMA proposed that the transfer of data should be carried out only by the old TR and the new TRs (i.e. not by the TR participant) following the principles outlined in the following sections. Furthermore, ESMA underlined that the TR participant should not re-report to the new TR any derivatives subject to the transfer, neither should it send any report to the old TR in order to cancel or error them. Therefore any such reports should be rejected by the new and by the old TR, respectively.”

Under these guidelines, and unlike a typical porting of a client to a new TR, where only open positions are exchanged between TR’s, the scenario includes all historical data to be moved along with open positions.  CME will be performing this in coordination with our client’s new TR so that the data flows all happen correctly per the technical and operational systems work that have been developed to comply with the official ESMA guidelines on porting.

23. Can my NCA authorize me to port EMIR data under differing guidance/exceptions?

[Added 29 May 2020]

CME ETR is operating without exception to the ESMA Guidelines on Transfer of data between Trade Repositories.   Please advise CME if your NCA provides different instructions as we understand all NCAs to want the transfer to occur in line with EMIR and the ESMA guidelines without any disruption or loss, or manipulation of data between the TRs.

24.  What happens if I do not transfer my outstanding TR data prior to the end of the wind-down timeline (30 November 2020)?

Any CME ETR client who does not initiate and complete a successful data port to an alternative TR by 15 November 2020 will be processed by CME ETR (as applicable) on their behalf as part of the wind-down backstop porting initiative. The backstop initiative will be executed by CME between 16 November 2020 and 30 November 2020.

Brexit


25.  How will Brexit impact the wind-down of CME’s EMIR trade repository (CME ETR)?

The CME ETR trade repository wind-down process will conclude on or before 30 November 2020; prior to the current timetable for the conclusion of the UK transition period (on 31 December 2020).  As such, no specific Brexit arrangements are required for the wind down of CME ETR.  CME ETR clients are advised to review the Brexit plans of their selected alternative EMIR trade repository to determine the impact of the Brexit transition process. 

Billing & Fees


26.  How will my annual membership fee (AMF) be handled? 

[Updated 3 August 2020]

Clients with an anniversary date between 30 May and 30 Nov 2020 will not be assessed a new annual membership fee but will continue to have full access until their termination effective date.

CME TRs will offer a prorated refund on the AMF for clients with a previous anniversary date occurrence between 01 Dec 2019 and 30 Apr 2020. The prorated amount will be calculated based on the number of whole months (including the anniversary month) between 30 May 2020 and the next anniversary date (month).

To streamline the rebate process, the refund amount will only be paid out on the subsequent billing cycle after a client has ported out to the alternative TR. The refund amount will first be used to offset any outstanding balance.   

27.  How will my submission fees be handled?

Clients will continue to be liable for any new submission fees until they provide the notice referenced above or the TR ceases operations, whichever is the earlier.

28.  Will porting out of CME incur additional fees?

CME Trade Repositories will not charge any port out fees.  Recipient trade repositories may charge fees related to data ported in and should be reviewed in the TR selection process.

Contractual Agreements


29.  Do I need to terminate my agreement with CME or will that be done automatically?

Per the 29 May 2020 notice sent to all clients, including the Verification Officers, the CME Australian and European Trade Repository User and Service Provider Agreements will be terminated effective 30 November 2020.  No action is required by clients to confirm the termination.  CME TR clients may request in writing (to repositorysupport@cmegroup.com) an earlier effective date following a successful port to an alternative trade repository. Porting data out will not automatically initiate an earlier termination of a contractual agreement unless explicitly requested by the firm.

30.  Is the client notice period to CME the same?

[Added 29 May 2020]

Yes, the notice period remains unchanged.

31.  Will I continue to have access to the Trade Repository system once my contract is terminated?

Client access to TR systems will be removed upon the contract termination effective date.  Clients must undertake any intended actions (porting and/or data access) prior to the termination date.

32.  Does CME TR have an agreement with the other EMIR Trade Repositories for the transferring of data?

[Added 29 May 2020]

Yes, the EMIR Trade Repositories collectively created a multilateral agreement for the purposes of inter-TR data reconciliation and data porting. 

Regulatory Engagement


33.  Are regulators involved in the wind-down process?

CME has engaged with applicable regulatory authorities in the planning and execution of the wind down process for CME ETR (ESMA), NATR (ESMA) and CME ATR (ASIC).  CME will remain in ongoing dialogue with these regulatory authorities during the process.

34.  Will my regulator continue to have access to trade repository data at CME following the wind-down completion?

No, following the wind down of trade repository activities and the transfer of repository data, CME will not retain derivative data in an accessible form or otherwise provide access to derivative data to client or regulatory authorities or any other person.

EMIR Reconciliation Process


35.  What does the wind-down mean for past data processed by CME ETR into the EMIR inter-TR pairing and reconciliation process?

CME is intending to follow the ESMA mandated portability process under the withdrawal scenario when transferring data to the relevant chosen TR(s).  As a result, all previously paired, matched or reconciled open transactions will be unpaired while being transferred to the new TR.  These transactions will subsequently undergo the EMIR inter-TR reconciliation process at the new TR.

Client Support Services


36.  Who should I contact for enquiries related to the EMIR or ASIC trade repository wind-down? 

Please contact repositorysupport@cmegroup.com for any initial enquiry.  If you have a regular relationship manager, you may also copy that person in to the email. 

37.  What levels of support can I expect during the wind-down period?

Over the wind down period there will be no changes to hours of support or your email and phone number contacts. CME Group recognizes that an orderly wind down of the businesses is of paramount importance and is committed to support our client fully during the wind down period.

 

Version 5  - 3rd August 2020