The European Federation of Energy Traders, EUROPEX, FIA and LEBA have released the common EFET-FIA ITS4 schema for position reporting under MiFID II.
The schema is the result of close cooperation between FIA and a number of trading venues. It builds upon the schema developed by the UK’s Financial Conduct Authority on the basis of Implementing Technical Standard 4 (ITS4) drafted by the European Securities and Markets Authority and adopted by the European Commission earlier this year. The FCA schema is designed for the reporting of positions by trading venues to the National Competent Authority (NCA). The EFET-FIA schema complements this format with some additional fields to allow for the delivery of supplementary information from market participants to the trading venues, which are subject to the position reporting obligation.
Article 58 of MiFID II requires EU Member States to ensure that trading venues where commodity derivatives, emission allowances or derivatives thereof are traded provide to NCAs daily reports of all positions in these products held by their members (both investment and non-investment firms), and, in the case of investment firms, of their members’ clients down to the first non-investment firm in the chain.
While the reporting obligation is on the trading venues, trading firms need to assist by providing additional data to complete the position report, a requirement which will be incorporated in the trading venues’ rulebooks. The EFET-FIA ITS4 schema allows for the provision of the missing static data for position reporting, as well as additional information required by trading venues to complete the Commitment of Trader Report.
The position reporting obligations kick in on 3 January 2018 with the start of application of MiFID II.
*Text updated 9 November 2017.
