Trade repository proliferation in Asia raises interoperability fears

Trade repositories are viewed as an important new tool to monitor the over-the-counter derivatives markets. But the disparate approaches being adopted by Asian jurisdictions in introducing data warehouses will likely lead to interoperability problems and may push up costs for regional and global banks

The tangled web of trade repositories

Derivatives dealers based in certain Asia markets may have hoped they would be spared the international regulatory requirement to report over-the-counter derivatives trade details on repositories by the end of 2012 – a deadline imposed by the G-20. But the future cost of running derivatives business will likely be no less onerous in the Asia-Pacific region – indeed, perhaps the reverse. Non-G-20 members, including Hong Kong, Singapore and Taiwan, are moving to set up trade repositories. But the