Supplementary Post Trade Deferral Regime under Regulation (EU) No 600/2014 (“MiFIR”)

MiFID Firms

Date: 04 May 2018

MiFID II/MiFIR introduced new requirements to strengthen transparency of financial instruments through inter-alia the introduction of post-trade transparency requirements for transactions in non-equity products.  However, MiFIR also recognises that there may be circumstances where the publication of the full details of a transaction as close to real time as is technically possible following execution thereof may not be in the best interests of market participants. Therefore, MiFIR allows national competent authorities in certain circumstances to authorise relevant entities to defer post-trade publication of details of transaction for 48 hours (“standard deferral”).

MiFIR also recognises that in certain circumstances an extended period of deferral (“supplementary deferral”) may be required for non-equity instruments.  In the interests of transparency, ESMA has published details of the relevant post-trade supplementary deferral regimes where applicable across the Union. 

The Central Bank of Ireland has advised ESMA of its deferred publication regime available for trading in non-equity instruments.  In this regard subject to the receipt of prior approval from the Central Bank on a case-by-case basis the Central Bank:

a. Does not require the publication of limited details of a transaction (all details with the exception of volume) or the publication of transactions in aggregated form or a combination thereof during the time period of deferral;

b. Allows the omission of the publication of the volume of an individual transaction during an extended period of time of four weeks;

c. For non-equity instruments that are not sovereign debt, allows the publication of several transactions executed over the course of one calendar week in aggregated form for an extended period of four weeks;

d. For sovereign debt instruments, allows the publication of the aggregation of several transactions executed over the course of one calendar week in aggregated form for an indefinite period of time; and

e. For sovereign debt allows for the consecutive application of (b) and (d) above.

Firms seeking approval for the standard and/or supplementary deferral of the MiFIR post trade transparency requirements should contact their relevant supervisor for further information regarding the application process.