Barclays, Goldman Sachs and JP Morgan will funnel securities finance transaction data to DTCC’s trade repository when rules kick in next year.
A statement from the US post-trade group – which has a London-based trade repository - said the banks will use the data warehouse to comply with Securities Financing Transactions Regulation (SFTR).
The reporting aspect of the European legislation requires firms to submit data on their stock loan and repo activity to a trade repository.
Banks are set to begin reporting in the first wave, starting April 2020.
Agent lenders are likely to support multiple repositories due to their varied client demands, Global Investor understands, whereas principal sides are more likely to pick one.
“Barclays, Goldman Sachs and JP Morgan are valued clients, and we’re delighted to be working with them in the securities financing arena to achieve the transparency and risk mitigation that the G20 intended,” said Val Wotton, managing director, product development & strategy, repository and derivatives services & collateral management at DTCC.
Barclays, Goldman Sachs and JP Morgan are part of an existing SFTR technology design team led by IHS Markit and Pirum.
DTCC launched its Global Trade Repository (GTR) in 2014 in the wake of trade reporting rules for derivatives.
Each firm will link their SFTR technology systems to GTR.