Impact of Commodities position limits reporting under MiFID II

MiFID II will greatly impact commodities trading.  Specific impacts are in the areas of commodities position limits and reporting.  Below, we outline those requirements.

Weekly reporting
Investment firms and other firms that trade commodity derivatives, emission allowances or emission derivatives must provide reports with the aggregate positions for each derivative traded on their trading venue and communicate that report weekly to both their national regulator and the European Securities and Markets Authority (ESMA).

On request reporting
These firms will also be required to report details of their positions, in real-time, including any positions held on behalf of their clients.
These reporting requirements will be put in place to ensure that firms do not exceed the limits for a given month.

Standard format reporting
Reports should be submitted in a common standard XML format.

Big Data and MiFID II
The amount of data required pre- and post-trade under MiFID II will present real challenges for firms trading commodity derivatives.  With the MiFID II transparency requirements, comes demands on data capture, storage, visualisation, and ultimately reporting.

Reviewing your data strategy
We believe that firms should be reviewing their data strategy as a matter of urgency.  The ALA OneLogic big data analytics platform will capture all your trade and transaction data quickly and efficiently.  It’s cost-effective and future-proof.
Our big data analytics platform is playing an important role at financial markets firms, helping mitigate risks, combat fraud, enhance transparency, and comply with regulations.

Start a discussion with Advanced Logic Analytics on how you can collect, process and analyse the required data, and start complying with MiFID II well before the January 2018 deadline.  contact@advancedlogicanalytics.com