Transaction reporting – AMAFI calls for ambitious reforms

Responding to ESMA’s recent consultation on simplifying reporting requirements under EMIR, MiFIR and SFTR, AMAFI called for a bold approach that includes a single, centralised transaction reporting system (AMAFI / 25-67).

The existing system is overly complex and costly, incompatible with efficient market functioning and detrimental to competitiveness. These issues can be tackled in a two-step approach:

First, review the value of the data collected, to ensure that only information that is truly germane to supervision is retained. Achieve quick wins through targeted but substantial streamlining measures.

Further out, set up a single, centralised reporting system backed by ESMA’s technical infrastructure.

Close collaboration between authorities and market participants will be needed for this transformation to be successful. AMAFI therefore recommended creating a dedicated European task force modelled on the group set up to manage the switch to T+1 settlement. The European Forum of Securities Associations (EFSA), to which AMAFI belongs, has endorsed these recommendations (AMAFI / 25-65).