During the construction of MiFID compliant regulatory reporting mechanisms in 2007, the Financial Services industry was involved in dialogue with the Committee of European Securities Regulators (CESR) and the Federation of European Stock Exchanges (FESE) to agree a solution to the issue of transaction reporting of exchange traded derivatives (principally Futures and Options) on the exchanges that were unable to support ISINs. (LIFFE and EUREX).
CESR and the industry bodies agreed that a change to the specifications should be made (at a date after November 1, 2007) to allow on exchange derivatives to be reported using Alternative Instrument Identification Codes (Aii) incorporating the exchange product code for identification.
The Aii Code is a composite data item comprising 6 elements as follows:
- Exchange Code
- Exchange Product Code
- Derivative Type
- Put/Call Indicator
- Expiry/Delivery Date
- Strike Price
CESR announced that use of Aii codes to report on exchange derivative transactions is mandated from November 1, 2008. FSA, however, have stated that the current waiver of obligation to report these transactions will remain in place and they will not provide facilities to report transactions in these instruments until Q4 2011.
Key Dates
Activity\Description | Date | Undertaken By |
TRAX 2.10 (Aii) Client and Gateway Software distributed to clients | 1st June - 22nd June 2009 | Xtrakter COMPLETE |
Xtrakter to upgrade backend systems | September 2009 | Xtrakter COMPLETE |
Xtrakter Test System made available to clients for end-to-end testing with the FSA. | 6th June 2011 – November 2011 | Xtrakter\Client\FSA COMPLETE |
Implement enhanced validation into Xtrakter Test System | End July 2011 | Xtrakter |
Carry out FSA Test Scripts | End July – Early August | Xtrakter/FSA |
Live Implementation | 8th August 2011 – Soft 13th November 2011 - Mandatory | Xtrakter/FSA |