ASIC REWRITE

On 21st October 2024, The Australian Securities and Investments Commission (ASIC) REWRITE Derivative Transaction Rules (Reporting) 2024 goes live on the same day as MAS REWRITE and shortly after the UK rollout of EMIR REFIT. 

ASIC’s current Derivative Transaction Regime was introduced in 2013 for the purpose of mandating reporting entities to report their relevant derivative transaction information to trade repositories.  

These new rules, known as ASIC REWRITE, is a significant update to the current ASIC over the counter (OTC) Derivative Transaction Reporting regime, harmonising with other regimes around the world, such as EMIR. The ASIC REWRITE is a by-product of a two-tier consultation process where the changes were proposed to streamline and simplify reporting requirements.

ASIC REWRITE will have a number of these new rules commencing on 21 October 2024 and other amendments coming into effect on 20 October 2025. 

What changes does ASIC REWRITE REFIT bring? The revision mandates several critical adjustments that organisations must adhere to or face severe penalties and damage to their reputation.

These changes include: 

• ISO 20022 XML Data Format: To harmonise with other reporting standard, ASIC REWRITE mandates the adoption of ISO 20022.

• Unique Trade Identifier (UTI) and Unique Product Identifier (UPI): These will have identical modalities as those introduced in other jurisdictions such as the EU, the UK, and the USA.

• Additional Counterparty Details:  Increased granularity on the type and location of entities involved ensures better counterparty risk evaluation.

• Collateral and Valuation Reporting: Reporting on the valuation of derivatives and associated collateral will be introduced as a mandatory requirement.

• New Reports: Counterparties will receive streamlined Trade and Margin related intraday and end-of-day reports.

• New and Expanded Reporting Details: Market participants will be obligated to include additional or expanded details and values in their reports, like the Notional Schedule fields, Spreads and Options related information, information related to Other Payment Types, Package Fields, Action Type Revive, Event Types, Delta Values and more.

• T+2 Reporting Deadline: ASIC REWRITE specifies a T+2 reporting timeline, meaning market participants must submit derivative transaction reports within two business days following the transaction execution date.

• Lifecycle Reporting: All products will now be subject to lifecycle reporting, with the main exemption being for small-scale buy-side entities. 

• Position Reporting: ASIC has introduced position reporting to align with ESMA methodology. Reporting entities are required to terminate the original transaction and report the new position with a new UTI. 

Over the years, we've helped a huge number of financial organisations sort their reporting.

ASIC Derivative Transaction Rules (Reporting) 2024 - https://www.legislation.gov.au/F2022L01706/latest/text

ASIC Derivative Transaction Reporting - https://asic.gov.au/regulatory-resources/markets/otc-derivatives/derivative-transaction-reporting/the-2024-rules-from-21-october-2024/ 

ASIC Derivative Transaction Rules (Reporting) 2024 Amendment Instrument 2024/1 -https://www.legislation.gov.au/F2024L00298/asmade/text 

ASIC Derivative Transaction Rules (Reporting) 2024 Amendment Instrument 2024/416 -https://www.legislation.gov.au/F2024L01032/asmade/text 

ASIC Regulatory Guidance - Regulatory Guide RG 251 Derivative transaction reporting (asic.gov.au) 

Consultation Paper 375 Proposed changes to the ASIC Derivative Transaction Rules (Reporting): Third consultation - https://asic.gov.au/regulatory-resources/find-a-document/consultations/cp-375-proposed-changes-to-the-asic-derivative-transaction-rules-reporting-third-consultation/ 

Report 792 Response to submissions on CP 375 Proposed changes to the ASIC Derivative Transaction Rules (Reporting): Third consultation - https://asic.gov.au/regulatory-resources/find-a-document/reports/rep-792-response-to-submissions-on-cp-375-proposed-changes-to-the-asic-derivative-transaction-rules-reporting-third-consultation/