OpenLink, a provider of transaction management software, has unveiled a new product that aims to ease compliance with the new clearing and reporting rules for OTC derivatives in Europe.
The new solution, EMIR Cube, offers online, analytical processing for financial institutions and non-financial organisation that trade swaps and is an extension of OpenLink's CubeIntelligence portfolio.
The tool is a response to the European market infrastructure regulation (EMIR), new rules that will obligate users of OTC derivatives to centrally-clear their trades and report exposures. Reporting obligations will begin later this year, while the clearing mandate is not expected to kick in until mid-2014.
Many swaps will also be traded on exchange-like platforms under new rules that will be included in Europe-wide rules under MiFID II.
OpenLink's EMIR Cube lets users generate the regulatory data needed for reporting to trade repositories, including the 30-day moving average; calculate and record the overall value of the notional outstanding portions of current sales; specify which trades, books and products fall under the EMIR rules; and run 'what-if' scenarios.
"Helping our clients across all sectors comply with industry regulations has always been a priority for us," said Mark Greene, CEO of OpenLink. "Firms are increasingly using derivatives to hedge and diversify their trading strategies to increase alpha and stay competitive. Our CubeIntelligence team has developed the OpenLink EMIR Cube to ensure clients continue to have access to the OTC market while remaining compliant with the new regulations set to come into force this year."