Our team of experts has already reviewed the impending validations from ESMA & FCA which was announced October 12th.
Although implementation date is expected within the second quarter (Q2) of 2022, we have already started to implement and test these new validations and we aim to incorporate these into our service 2 weeks prior to go-live.
As always we will be in close communication with all stakeholders (ARMs, NCAs, and our clients) and we will transition our clients seamlessly.
Changes of validation rules will be applied to the following fields:
Entity Status validation
- ‘Buyer identification code’ field 7 EntityStatus shall be Active on the trading date
- ‘Buyer decision maker code’ field 12 EntityStatus shall be Active on the trading date
- ‘Seller identification code’ field 16 EntityStatus shall be Active on the trading date
- ‘Seller decision maker code’ field 21 EntityStatus shall be Active on the trading date
Date of birth validation
- ‘Buyer – Date of birth’ in field 11 should not be later than trading date
- ‘Seller decision maker – Date of birth’ in field 24 should not be later than trading date
- ‘Buy decision maker – Date of birth’ field 15 should not be later than trading date
- ‘Seller – Date of birth’ in field 20 should not be later than trading date
CFI interconnection with other fields and validation check
- Field 35 is mandatory for debt instruments, i.e. CFI of the instrument in the reference data is DB**** (bonds), DC**** (convertible bonds), DT**** (medium term notes) and DN**** (municipal bonds)
- CFI-codes JF****, RWC***, RFC***, DE***C and DS***C
- rule id 154: CFI codes RFI***
- rule id 166: CFI-code RF****
- rule id 250: The following CFI-codes are included in this validation rule: RA****, RS****, RP****, RD****, RM****, RX****, RWB***, RWS***, RWD***, RWT***, RWI***, RWM***, RWX***, RFB***, RFS***, RFD***, RFT***, RFI***, RFM***, RFX***, DB****, DC****, DW****, DT****, DG****, DA****, DN****, DD****, DM****, DY****, DX****, DE***B, DE***S, DE***D, DE***T, DE***I, DE***N, DE***M, DE***X, DS***B, DS***S, DS***D, DS***T, DS***I, DS***N, DS***M, DS***X, JE****, JC****, JR****, JT****, JX****
rule id 262: field 35 is mandatory for debt instruments, i.e. CFI of the instrument in the reference data is DB**** (bonds), DC**** (convertible bonds), DT**** (medium term notes) and DN**** (municipal bonds) - rule id 264: CFI-codes ES****, EP****, EC****, EF****, EL****, ED****, EM****, EX**** and C****
Country of the branch membership
- Country of the branch membership field 37 should not be optional in case of a SI (i.e. the field should be N/A)
Venue code validation check
- If ‘XXXX’ is populated in field 36, the full instrument description must be provided and the ISIN reported in must not be present in reference data for the relevant trade date.
- Included clarification for cases when fields 12 and 21 are left blank
- If field 25 Transmission of order indicator is ‘true’, the trading venue field (field 36) should be XOFF or XXXX.
- field 36 is populated with ‘XXXX’ or ‘XOFF’ or a MIC pertaining to a Systematic Internaliser.
Contact us for any concerns relative to the above! Point Nine team of experts would gladly shine light to any concerns/ questions you may have!
