DTCC wins new Dodd-Frank data repository licence

The Commodity Futures Trading Commission has approved the Depository Trust & Clearing Corporation’s application to become one of the new swap data repositories.

The Commodity Futures Trading Commission (CFTC) has approved the Depository Trust & Clearing Corporation’s application to become one of the new swap data repositories.

On 19 September, the firm became the second organisation to be given provisional registration under the new category of CFTC-registered entities created by the Dodd-Frank Act.

Swap data repositories will perform a variety of functions related to the collection and maintenance of swap transaction data and information.

The DTCC was already registered as a trade repository under current law and maintains data on more than 98% of all credit default swap transactions. Earlier this year it cautioned that if there were too many separate repositories, fragmentation could make it difficult for investors and regulators to form a clear picture of market risk.

DTCC Data Repository’s licence covers interest rate, credit, foreign exchange, and equity asset classes.

In June, IntercontinentalExchange (ICE) Trade Vault became the first swap data repository under the new Dodd-Frank regime which requires firms to trade more OTC derivatives instruments on exchange, clear through central counterparties and be subject to stricter reporting requirements.

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