Securities Financing Transaction Regulation (SFTR)
On 25th November 2015 EU regulation 2015/2365 was published which requires reporting of Securities Financing Transactions (SFTs). This regulation also instructed European Securities Markets Authority (ESMA) to define the details of how such trades should be reported (known as Regulatory Technical Standard (RTS) and an Implementing Technical Standard (ITS)). The final versions of these documents were published in the EU Official Journal on 22nd March 2019 and entered into force on 11th April 2019.
Key information about NatWest Markets Plc and NatWest Markets N.V. (NWM), concerning Securities Financing Transaction Regulation (SFTR) is provided below. More details around this regulation can also be found in our useful links section.
- NWM Compliance Date: 11th April 2020
- Nature of Counterparty: Financial Counterparty
- Legal Entity Identifier (LEI):
- NatWest Markets Plc is RR3QWICWWIPCS8A4S074
- NatWest Markets NV is X3CZP3CK64YBHON1LE12.
- For all other NatWest Market entities, please contact us at the email address below
- All counterparties trading in scope securities financing transactions are expected to have an LEI as well to continue trading with NWM (see link to LEI).
- Trade Repository Selection: DTCC Global Trade Repository
- Unique Transaction Identifier (UTI) Generation & Exchange: NWM will adhere to the principles set out in the Final Report issued by ESMA on 31st March 2017 under Section 4.3.5. However in case of bilateral trades where none of the prescribed methods apply, NWM will generate and provide a UTI via existing confirmation methods
- Pre-Matching: NWM are not intending to utilize a pre-matching service before submission to a Trade Repository
- Delegated Reporting: NWM will provide delegated reporting as per the mandatory requirement under Article 4.3 of 2015/2365, which requires financial counterparties to report on behalf of non-financial counterparties whose balance sheets do not exceed the limits of at least two of the three criteria laid down in Article 3(3) of Directive 2013/34/EU (NFC-).
Currently NWM are reviewing whether to expand this delegated reporting service to a wider customer base. We continue to work with industry bodies to create a standardised single agreement to facilitate both mandatory and optional delegated reporting which we would look for customers to utilise.