EMIR DELEGATED REPORTING OVERSIGHT

INTENSIVE PROGRAM

SITUATION APPRAISAL

From 18 June 2020, EMIR will be amended so that UCITS ManCos and AIFMs “shall be responsible, and legally liable” for reporting the details of OTC derivative contracts entered into by the fund. This alters the pre-existing position, which was that the fund is responsible for reporting. This change will have the greatest impact on third party ManCos who, until now, relied on the fund to ensure that EMIR reporting was carried out.

ManCos can delegate EMIR reporting to a third party. However, ManCos remain responsible for compliance with their EMIR reporting obligations and the Central Bank of Ireland expects them to closely oversee their EMIR reporting delegate.

ManCos need to understand the background and purpose of EMIR generally and their reporting obligations specifically. Armed with that knowledge, they need to design and implement an oversight framework including an EMIR reporting policy and written agreement with the EMIR reporting delegate.

EMIR Delegated reporting oversight

Objectives, Measures of Success & Value

Objectives:

A rapid deep-dive programme to assist ManCos in designing and implementing an effective and appropriate EMIR reporting oversight framework taking into account:

The Central Bank’s expectations regarding how reporting delegates are overseen; and

How peer ManCos are approaching this task.

#EMIRReporting

Measures of Success:

ManCos will leave the Intensive Programme with:
Knowledge of the background and purpose of EMIR generally and their reporting obligations specifically.
A practical understanding of their reporting obligations under EMIR and of the Central Bank’s expectations regarding how ManCos should oversee their reporting delegate on a day-to-day basis. A framework for constructing the firm’s reporting delegate oversight programme.
Template reporting delegate oversight policy and template written agreement with a reporting delegate.

#EMIRReporting

Value:

Minimise the risk of reputational damage and costly regulatory fines for breaching EMIR regulatory obligations.

Design and build an EMIR delegated reporting oversight framework that complies with regulatory requirements, Central Bank expectations and best practice.

Avoid the time and expense of trying to fix problems after the event. Get your oversight right from the outset.

#EMIRReporting

MEET YOUR FACILITATOR

This programme is delivered by Daniel Lawlor, Lead Advisor at Aquest. Daniel is the former Head of Funds Policy Team at the Central Bank of Ireland and, before that, Funds Lawyer at William Fry. He has 17 years’ experience in the financial services industry which was gained both from as a funds lawyer and financial regulator.

METHODOLOGY

PHASE 1

Setting us up for success

Client take-on process to include review of current OTC derivatives usage, current proposals in relation to delegation of EMIR reporting including proposed EMIR reporting delegate and proposed Trade Repository and up to 7 bios for management team

#EMIRReporting

PHASE 2

‘Lay of the land’ workshop

Interactive Workshop where:

background and purpose of EMIR generally and EMIR reporting obligations specifically, including Central Bank expectations, are explained by the Facilitator; and
specific approach to be adopted by the ManCo is discussed and tested between ManCo’s EMIR Delegated Reporting Oversight Team and Facilitator

#EMIRReporting

PHASE 3

Full Analysis of your Submission

Client Support - Rapid response access to Daniel Lawlor for 1 ManCo contact for 5 consecutive business days following the Interactive Workshop to address any follow up queries ManCo may have.

#EMIRReporting

EMIR DELEGATED REPORTING OVERSIGHT

INTENSIVE PROGRAM

SITUATION APPRAISAL