What is the EMIR REFIT?
Further to the introduction of the European Market Infrastructure Regulation (EMIR) in 2012 and subsequent revisions in 2015 and 2017, the REFIT program (Regulatory Fitness and Performance Program) was instigated. The purpose of the REFIT for Trade Reporting, which commenced in 2019, has been to review the issues identified in the years since reporting obligations were introduced and to use these findings to enhance the accuracy of Trade Reporting, through improved data quality and industry standardisation.
ESMA have subsequently highlighted two specific areas of concern impacting the accuracy and completeness of Trade Reporting:
1. Timeliness of reporting – large number of trades reported past the T+1 deadline; and
2. Reconciliation – low reconciliation rates and poor reconciliation processes.