spotlight 4

One of the goals of the Operations Management Group (OMG) is to implement trade data repositories for credit, interest-rate and equity derivatives to improve transparency in the OTC derivative markets. The warehouse for credit derivatives, provided by DTCC, is already live and TriOptima will build the interest-rate repository while DTCC provides the service for the equity derivatives markets.

- Part 2 of “When is a Data Repository Not…"

In a previous article, Simon Hopper outlined the specific design, functionality and operation of a data repository. In part two of the series, he provides further analysis on the use of data warehouses for the purpose of financial markets’ oversight. This article clarifies the main differences between operational processing and information reporting systems and explains the consequences if these differences if they are not considered today as when market works towards implementing a data warehouse for OTC derivatives. 
 
 

Earlier this year, some participants in the financial industry agreed to implement a “data repository” for credit, interest-rate and equity derivatives to facilitate the market wide recording of trade data and therefore improve the transparency and disclosure of the OTC derivatives market. However, the definition of a “data repository” is widely misunderstood and its design and functionality unclear.