The Financial Stability Board (FSB) has published a report on the standards and processes for global securities financing data collection and aggregation (the Report).
The Report builds on the policy recommendations from the FSB’s August 2013 report Policy Framework for Addressing Shadow Banking Risks in Securities Lending and Repos, in particular its recommendations to improve transparency of securities financing markets, and on the public consultation findings. The Report sets out finalised standards and processes to allow the FSB to periodically collect aggregated data on securities financing transactions from national and regional authorities.
In particular and among other things, the Report defines the data elements for repos, securities lending and margin lending that national and regional authorities will be asked to report on as aggregates to the FSB for financial stability purposes. Additionally, the Report describes data architecture issues related to the data collection and transmission from the reporting entity to the national/regional authority and then from the national/regional level to the global level.
The Report includes recommendations to national and regional authorities, the purpose of which is to allow for consistency among national/regional data and to make it possible to derive meaningful global aggregates.
The FSB notes that it will start working on the detailed operational arrangements with a view to initiating the official global data collection and aggregation at the end of 2018.