The Luxembourg Commission de Surveillance du Secteur Financier (CSSF) published supervisory guidance on EMIR Article 9 derivative reporting, highlighting recommended controls to reduce the most common reasons Trade Repositories reject reports under EMIR REFIT (RTS 2022/1858). It reiterates that a report is only valid if accepted by the Trade Repository and that rejected submissions are treated as not reported unless resubmitted and accepted within the reporting deadline, with the CSSF monitoring rejected reports for counterparties under its supervision and expecting resubmission of any rejected report. Based on rejection reports covering the period from 29 April 2024 to 31 December 2024, the CSSF points to recurring issues and checks, including using action type ‘New’ or ‘Position Component’ for a derivative not previously reported, ensuring other action types are only used for already reported trades, avoiding changes to immutable fields such as ‘Counterparty 1’, ‘Counterparty 2’ and ‘UTI’, and ensuring the ‘Reporting Timestamp’ is on or after 29 April 2024 and consistent with the Trade Repository reception date. Additional controls include ensuring the ‘Event date’ is on or before the ‘Reporting Timestamp’ and, for all action types except ‘Revive’, on or before the ‘Expiration Date’ and any populated ‘Early Termination Date’, and using action type ‘Revive’ following a cancellation reported with action type ‘Error’. The communication also reminds Luxembourg-established entities responsible for reporting to notify the CSSF of significant reporting issues under ITS 2022/1860 via the data quality notification process, and notes that EMIR 3, in force from 24 December 2024, adds powers for national competent authorities to impose administrative penalties or periodic penalty payments where reported details repeatedly contain systematic manifest errors.
Luxembourg Commission de Surveillance du Secteur Financier 2025-03-18
Luxembourg Commission de Surveillance du Secteur Financier highlights controls to prevent EMIR REFIT reporting rejections and expects resubmission of rejected trade reports
The Luxembourg CSSF issued guidance on EMIR Article 9 derivative reporting, emphasizing controls to address common Trade Repository report rejections under EMIR REFIT. The CSSF highlights the importance of valid report acceptance and monitors rejected reports, expecting resubmissions within deadlines. EMIR 3, effective 24 December 2024, empowers authorities to impose penalties for systematic reporting errors.