Bolsas y Mercados Españoles (BME), the Spanish exchange operator, will broaden and strengthen its range of services for Mifid II / Mifir compliance by financial market participants. To this end it will act as an Approved Publication Arrangement (APA), Authorised Reporting Mechanism (ARM) and will manage the Systematic Internaliser (SI) regulatory compliance service.
These agents and services are part of the new regulation established by the Mifid II European Directive, which will enter into force in January 2018.
One of the main services arising from the new regulation and provided by BME will be the APA, which will help financial institutions to fulfill their post-trade transparency obligations. Through this service, BME will publish details of its clients’ OTC transactions through the Group’s information dissemination services.
The newly created SI service will allow the identification of investment firms as SI for each instrument and the publication of the firm quotes in respect of the instruments for which the customer is an SI.
In addition, and acting as an ARM, BME will provide a communication service to the competent authorities on the details of their clients’ transactions in the required formats by the regulation. This service is the evolution of the current Transaction Reporting Service (SIO) offered by BME in compliance with Mifid I.
These services, as well as others that were being provided by the group, such as the Integrated Financial Reporting Service (SIR) and the Integrated Service for the Prevention of Market Abuse (SICAM), will be provided by BME Regulatory Services, acting as a one-stop shop.