FIX Trading adds MiFID II functions to protocol

FIX Protocol now includes data and documents on MiFID II reporting, clock synchronisation and transparency requirements.

FIX Trading Community has extended its FIX Protocol to meet the requirements of MiFID II and MIFIR. 

The additional data has been incorporated into the FIX Protocol and covers requirements under MiFID II like reporting, venue waiver indicators, trader IDs and short-selling marking.

“By walking through a number of different trading scenarios, members have been able to document what additional data will be required to be passed between investment firms and/or trading venues to meet MiFID II requirements,” FIX said.

There are three extension packs on clock synchronisation, post-trade flagging obligations and record keeping, reference data and transparency, available for investment firms and trading venues to download.

Hanno Klein, EMEA chair for the global technical committee at FIX Trading Community and senior vice president at Deutsche Boerse, explained during a detailed analysis, the majority of requirements were already covered by the FIX Protocol.

“We were able to re-use many of the existing concepts and workflows and have so far not needed to add a single new message to the FIX Protocol. This significantly lowers the impact on existing users of the FIX Protocol when passing information to each other to allow regulatory reporting to ESMA,” he said.

Irina Sonich-Bright, business development AES Europe at Credit Suisse and co-chair of the FIX Trading Community MiFID II transparency working group, added the recent additions to the Protocol is a “milestone that everyone in the industry has been waiting for.”

“Some of the work is the result of the cross industry group’s collaboration too. There is still significant work to be done but there is enough information there to trigger feedback and move forward with the IT development,” she said.