OFR Proposes to Collect Non-Centrally Cleared Bilateral Repo Transaction Data

The U.S. Treasury Department Office of Financial Research ("OFR") proposed requiring certain broker-dealers, government securities broker-dealers (including banks), other financial companies and investment advisers to submit daily trade and collateral information on their outstanding non-centrally cleared bilateral repurchase agreement transactions.

According to the proposal, for broker-dealers and government securities broker-dealers, the reporting requirements would apply to firms that average over $10 billion a day in non-centrally cleared bilateral repurchase transactions. For investment advisers, the requirement would apply to advisers that manage over $1 billion in assets and whose advised funds average over $10 billion in bilateral repo transactions per day with entities other than broker-dealers or government securities dealers. For other financial companies, the requirement would apply to entities with over $1 billion in assets that average over $10 billion a day in bilateral repo transactions with other than broker-dealers or government securities dealers.

OFR stated that the requirement is not limited to repo transactions in U.S. government securities.

The proposal would require covered firms to provide 33 data elements for all repo transactions within the scope of the reporting requirement. Reports would be required to be submitted each business day with information as to the prior business day.