Consultation to begin in mid-January 2021 on the Unique Product Identifier

London, 7th December 2020 – The Derivatives Service Bureau (DSB), founded by the Association of National Numbering Agencies (ANNA) to facilitate the allocation and maintenance of ISINs[1], CFIs[2] and FISNs[3] for OTC derivatives, is today announcing the forthcoming DSB consultation timelines for the principles underlying the fee model for the new Unique Product Identifier (UPI).

This first of two rounds of consultation enables industry to shape the key principles that will underpin the fee structure for the UPI. The DSB encourages all market participants that report to trade repositories, and will need to incorporate the UPI into their workflows, to review and respond to the consultation, so that a broad spectrum of views can be reflected in the service that is introduced in 2022.

In 2019, the FSB announced its decision to designate the DSB as the sole service provider for the future UPI system, performing the function of issuer of UPIs as well as operator of the UPI reference data library. Key dates for industry to be aware of for the UPI fee model consultation process are as follows:

  • January 11th, 2021 first UPI fee consultation begins, and ends March 5th, 2021
  • May 10th, 2021 second Industry Consultation, and ends July 9th, 2021
  • September 9th, 2021 publication of the Final Consultation paper

Emma Kalliomaki, Managing Director of ANNA and the DSB, said, “UPIs are being introduced as part of a package of G20 reforms to assist regulators with aggregation of global OTC derivative data to improve transparency, mitigate systematic risk and protect against market abuse. Given the global footprint of the UPI, and the need for broad market readiness, we want to give the industry advance notice about the upcoming UPI consultation process so that they have as much time as possible to prepare for engagement.”

Malavika Solanki, a member of the DSB Management Team, said, “Any firm that needs to report to a trade repository will need to have access to the UPI either directly or indirectly. The DSB is working closely with industry participants at each of the Product Committee and Technology Advisory Committee, as well as with global regulatory authorities to ensure that the UPI service meets the needs of all stakeholders. We would very much like to hear from a diverse range of globally dispersed voices so that users with differing post trade workflows have their views captured in how the UPI service is shaped in the years to come.”

For more information please do visit our website on UPI.

ENDS

Media contact for ANNA
Lindsay Clarke
Streets Consulting
+44 (0)20 7959 2235
lindsay.clarke@streetsconsulting.com

 

The Derivatives Service Bureau (DSB) Ltd

The Derivatives Service Bureau is a global numbering agency for OTC derivatives serving the needs of market participants through the allocation of International Securities Identification Numbers (ISINs), the Classification of Financial Instruments (CFI) and Financial Instrument Short Name (FISN), all globally recognised and adopted ISO standards for identifying, classifying and describing financial instruments.

The DSB has also been designated as the sole provider of the Unique Product Identifier (UPI) by the Financial Stability Board (FSB) and is working with stakeholders to make the UPI globally available.

Serving almost 500 institutions (70% free of cost), with an underlying technology platform that is built to support multiple taxonomies of definitions and descriptive data, as well as numbering in near-real-time, the DSB is motivated to bring greater transparency and integration within the OTC derivatives market, enabling institutional investors to standardise data and better control operational risk. Users can access the DSB through a web interface, by accessing data in daily update files or by direct integration to front-office systems for trading and order management.

The DSB is a legal subsidiary of the Association of National Numbering Agencies (ANNA). With widespread industry representation, expertise and collaboration at its core, the DSB’s history, pedigree and expertise are rooted in ANNA, with its broad experience and overview of handling both on and off-exchange ISINs for all asset classes. If you would like to use the Derivatives Service Bureau please visit the DSB website.

About ANNA

The Association of National Numbering Agencies (ANNA) is a global member association seeking to foster standardisation within the financial industry by upholding the International Organization for Standardization (ISO) principles and by promoting ISIN, FISN and CFI codes for financial instruments. This is achieved through ongoing, collaborative work with market participants, regulators and other standards bodies.

Under ANNA’s stewardship, the role of the ISIN in enabling global financial communications has been established worldwide. Founded in 1992 by 22 numbering agencies, today ANNA’s membership continues to grow, with more than 120 global members and partners allocating ISIN, FISN and CFI codes on behalf of their local jurisdictions. By putting in place rigorous governance around the development, allocation and sharing of ISIN, FISN and CFI codes, ANNA helps facilitate open, transparent markets diminishing barriers to access, while protecting the integrity of the standards. As a result, ISIN has become the recognised global standard for unique identification for all types of financial and referential instruments, helping to connect and protect global markets.

In addition, ANNA has established the Derivatives Service Bureau (DSB), a fully automated global numbering agency to meet the specific operational and regulatory requirements of the over-the-counter derivatives markets.

For information about ANNA, its members and activities, please visit the website

 

[1] International Securities Identification Numbers

[2] Classification of Financial Instrument codes

[3] Financial Instrument Short Names

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