DTCC introduces OTC Direct Connect for enhanced derivatives data access

OTC Direct Connect represents a significant stride in data dissemination, offering investment professionals, data vendors, and support teams systematic access to crucial OTC derivatives data for the U.S. and Canadian markets.

By leveraging this service, subscribers can manage market and trading risks more effectively with near real-time data, enhancing transparency and adhering to regulatory disclosure mandates.

OTC Direct Connect improves transparency in over-the-counter derivatives markets

The service channels data through AWS Data Exchange, allowing easy integration with AWS’s suite of services, such as Amazon S3, Athena, and Redshift, for a streamlined experience in data storage and system integration, as highlighted by Christopher Nardo from DTCC’s Product Management. “We are excited to announce the launch of OTC Direct Connect. OTC Direct Connect provides a seamless, low-friction experience with daily and intra-day updates,” said Nardo.

“This solution systematically and seamlessly disseminates OTC derivatives transaction data to interested parties. OTC Direct Connect improves transparency in the OTC derivatives markets, as intended by regulatory disclosure mandates, by providing subscribers with improved information access,” said DTCC Data Services’ Managing Director, Tim Lind.

DTCC launched Trade Reporting Analytics and UTI Exchange

Last week, DTCC launched a set of new features to its Report Hub service as the industry braces for a revamp of trade reporting regulations.

The added capabilities, Trade Reporting Analytics and UTI (Unique Trade Identifier) Exchange, are intended to help financial firms meet the increasingly complex regulatory mandates for derivatives and securities financing transactions across multiple jurisdictions.

Trade Reporting Analytics, the newest addition to the DTCC Report Hub service, offers over 100 data insights aimed at helping firms identify errors, trends, and benchmark their performance against an anonymized group of peers. This feature has undergone validation by a pilot user group that includes some of the world’s largest financial institutions, such as J.P. Morgan, Nomura Americas Services, LLC, and Wells Fargo.

DTCC’s new UTI Exchange, delivered via API, facilitates the sharing of UTIs by counterparties, a requirement under most major derivatives regulatory reporting regimes. The feature aims to automate this exchange, allowing UTIs to be automatically enriched onto a trade and submitted using the platform’s Pre Reporting service.

The enhancements come at a crucial time when financial firms are grappling with changing trade reporting rules. With 50 years of industry experience, DTCC aims to centralize and standardize the processing of financial transactions to mitigate risks and drive efficiencies in the global financial markets.