Thursday October 12 2017
News Source: Global Exchanges
Focus: Trading Rules
Type: General
Country: Cyprus
Link: https://www.cysec.gov.cy/CMSPages/GetFile.aspx?guid=66e35d6e-f475-4d51-a2cd-77b5053ba7cf
Cyprus Securities and Exchange Commission (CySEC) has published guidance which outlines changes relating to EMIR. These changes were previously discussed in Circular C115.
The guidance extends to several key areas:
- Clearing obligations
- Reporting obligation
- Risk mitigation techniques for OTC derivatives contracts not cleared by a CCP (noncentrally cleared OTC derivatives)
- What Regulated Entities should do as a result of the new provisions
The Guidance gives a valuable insight into the rationale and practise of these rules. On the issue of Backloading, the period for reporting terminated trades shall be extended from 3 years to 5 years from the commencement date for reporting (i.e. from 12 February 2017 to 12 February 2019).
This is given legal effect in Article 1(5) of Regulation 2017/105.
For additional guidance please click the link above