REMIT Reporting Services and Solutions - July 2015 updated March 2016
5.8 Pros and cons of OMP approaches
Here we examine some of the considerations that could be borne in mind whether deciding on an approach to meet
the requirements of the first phase of RENIT reporting, and the pros and cons of the approaches above:
Pros
Direct
reporting with
each OMP
Upload and
send
Send OMP data
directly to
RRMs or
TR/RRMs
Aggregated
service
Very little work
to do for market
participants,
particularly if
trading on
exchanges
Could be
relatively cheap
May remove the
need for
reconciliation
Cons
Different
agreements with
each OMP
Different pricing
How to report
post trade
events and
beneficiary data
Need to obtain
records of data
sent
Little control
Complete control More work for
over data
market
participant to
Post trade events
upload data and
and beneficiary
then send to
information can
RRM
be sent
Good path to off Could require
specialist
venue reporting
software and/or
processes
Requirement to
reconcile
Little work for
Not all OMPs can
market
send data to the
participants
same RRM
Data is ready
Need to obtain
consolidated.
records of data
sent
Less control
Reconciliation
required unless
RRM is
“preferred” by
OMP
Less work for
Extra cost
market
Post trade event
participant
problem still
exists
Reconciliation is
possible in one
Likely to give risk
place
to new liability
Includes order
unless the
information
service is the
“preferred”
RRM.
Considerations
Whom it suits
Number of OMPs Those who do
not trade on
Whether broker
many OMPs
platforms are
used
Those who
mainly trade on
exchanges
Those for whom
reconciliation is
not desired
Number of OMPs Those who trade
on many OMPs,
Data volume
especially broker
Internal
platforms
infrastructure
Those with many
Whether OMP
off venue deals
provides service
and in which
format
Range of OMPs
used
Preferred RRM
Those who use a
range of OMPs
that can send to
the same RRM
(especially if it is
the “preferred”
one).
Range of OMPs
used
Those who trade
across many
OMPs who do
not want an
internal solution
Copyright 2016 – ETR Advisory Ltd and Commodity Technology Advisory LLC
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