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