Reconciliation_1920x600

Compliance Reconciliation

Reconcile your transaction data for the entire regulatory submission process

Request a Demo

Reconciliation just like the regulator wants 

With the ever-increasing data quality checks conducted by regulators, it is imperative that reporting firms have in place the necessary tools and processes to verify reporting quality on a regular and ongoing basis. Cappitech offers several reconciliation options to choose from to ensure the accuracy and completeness of your data:

End of Day Trade Repository Reconciliation

This reconciliation process is designed to identify inaccurate and incomplete transaction reporting data between your books and records, and the Trade Repository.

All trades coming from the system of record are ingested by Cappitech. Eligibility, Determination and Validation rules are run against those trades to determine what should have been reported to the Trade Repository.

Once the universe of eligible trades is established, Cappitech builds an end of day position file by aggregating all the eligible trades into positions. Incidentally, some clients prefer to send us their EOD position files which negates the requirement to aggregate on our end. Those positions in Cappitech are then compared, field by field against the TSR.

MiFID Reconciliation

The Cappitech solution allows you to compare trade data to transaction reports with line-by-line details of submissions to trades. The final XML reports received by the FCA are reconciled to MiFIR submissions and ensure you comply with best practices of monitoring transaction reporting.

Customized Reconciliation

For those who need a bespoke reconciliation module, Cappitech is able to offer a field-by-field comparison between any two sources. This can include comparing books and records against your counterparty submissions, comparing against a clearing broker, internal systems, etc.

Pairing & Matching (EMIR & SFTR)

This reconciliation module is a visual of historical statistics of unpaired, paired, matched and non-pairable submissions which includes, for example, per LEI details, granular details per UTI of mismatched fields and values and filters to query by date, pairing status, submission message and counterparty.

Cappitech’s Reconciliation Modules can be used by both existing reporting clients and clients that report outside of our platform and need an independent control on your reporting.
Get Started

Benefits

Various options available based on the type of reconciliation you need
Quickly and easily identify breaks, gaps or inaccuracies in the data
Available across all regulatory regimes (CFTC, SEC, Canada, EMIR, SFTR, MiFID II, MAS, ASIC, HKMA)
Ability to fix errors in the Cappitech system directly or resubmit via the source
Around the clock support for questions on resubmissions, breaks or any backloading
Available as reports or accessed via the dashboard or delivered via sFTP
Access to Cappitech regulatory experts to assist with remediation

What is regulatory reconciliation?

Regulatory reconciliation is the process of comparing front office transactions to those submitted to regulators and trade repositories under transaction reporting for accuracy and completeness of reporting. The review should include checks that all trades that are under scope are in fact reported, transactions out of scope aren’t being reported and that data received by regulators matches sent submissions.

 

Is trade/transaction reconciliation a requirement by the regulator?

Under MIFID II regulation, there is a requirement within RTS 22 Article 15 Clause 3: “Investment firms shall have arrangements in place to ensure that their transaction reports are complete and accurate. These arrangements shall include testing of their reporting process and regular reconciliation of their front-office trading records against data samples provided to them by their competent authorities to that effect.”

Other forms of transaction reporting regulation also include within their legislation requirements for firms to have in place processes for maintaining accuracy and timeliness of reports.

 

Why do we need to reconcile with the regulator’s data?

While comparing the number of transactions sent vs. the number of transactions accepted by the regulator, you can identify many reporting issues including identifying rejections or discovering records being missed.

 

What is a three-way reconciliation?

Three-way reconciliation is a comparison between front office data, information sent to an ARM or service provider and reports collected by a trade repository or regulator.

Learn More

Brochures

Trade & Transaction Reconciliation — Most Frequently Asked Questions

Read our latest brochure covering the importance of regulatory reconciliation as regulators increasing prioritize the qu...

7th Global Regulatory Reporting Survey results Cappitech
Survey and Reports

7th Annual Cappitech Global Regulatory Reporting Survey 2024

Dive into the highly awaited results of the 2024 of Cappitech’s regulatory reporting survey. The report brings tog...

Cappitech End of Year Webinar 2024
Webinars

2025 Regulatory Reporting Horizon: What’s Next After a Busy 2024

Listen to our webinar replay where our Cappitech thought leaders provide updates on global regulation and essential tips...

More Compliance Solutions

Reconciliation_Footer_1920x600

Learn how to easily reconcile your trades

It’s simple with S&P Global

This website uses cookies and other standard technologies to ensure you get the best experience on our website. By clicking on “accept” or continuing to use this site, you’re consenting to their use. To learn more about the cookies we use, see our- Cookie Policy