ESMA builds central facility for MIFIR and EMIR data
On April 1, the European Securities and Markets Authority launched two major projects to collect financial market data across Europe.
First, at the request of several national market regulators, ESMA will provide a central facility in relation to instrument and trading data and the calculation of the MiFIR transparency and liquidity thresholds. This will involve ESMA connecting electronically to approximately 300 European trading venues and ESMA is expected to require the reference data to be provided in a standardized format. Under the proposed timeline, the system will be built by 2016, but the project is not anticipated to go live until the first quarter of 2017. Four countries–Germany, Italy, Spain and the U.K.–have not signed up to this project, as they are putting their own systems in place.
The second project is intended to provide national competent authorities with a single access point to data held by six European trade repositories under the European Market Infrastructure Regulation. This project will save those NCAs from having to obtain the data themselves from the trade repositories and will enable them to receive European-wide trade data in a single file. Austria, Bulgaria, Germany and Luxembourg are the four NCAs that have not signed up to the trade repositories project.
The data from both projects will be made available to the public by ESMA through a centralized system. Once finalized, the database will allow NCAs and financial participants access to all data for financial instruments admitted to trading on EU regulated markets or traded.
