UK: Derivatives Transaction Reporting: What Do Singapore’s Proposals Mean For Firms Regulated Elsewhere?

The Monetary Authority of Singapore (MAS) has recently published a consultation paper setting out its proposals for transaction reporting requirements (the Securities and Futures (Reporting of Derivatives Contracts) Regulations 2013 or SF(RDC)R) (the Consultation).

This client alert does not analyse the proposals in detail, but highlights questions for market participants, who are already deep in the midst of regulatory response planning in respect of Dodd-Frank and EMIR, to factor into their transaction reporting project plans.


This Consultation is a continuation of the regulatory reform package which began with the Securities and Futures (Amendment) Act on 15 November 2012. This was Singapore's response to the G20 commitments with respect to regulatory requirements for OTC derivatives and mandatory clearing for standardised transactions. These proposals also follow on from the response of the US under Dodd-Frank and the EU under EMIR respectively.

The proposed reporting requirements are subject to phased implementation according to:

  • asset class (with interest rate and credit derivatives first);
  • categorisation of the reporting party; and
  • whether the trade is entered into on or after the date that the reporting obligation comes into effect (but there is a backloading requirement).

So far, so familiar to anyone who is grappling with Dodd-Frank or EMIR.

However, it seems that Singapore has chosen to propose a more US, as opposed to EU, style of reporting requirement. For example, there is no proposed reporting requirement for non-financials under a specified threshold and no extension of the reporting requirement to exchange-traded derivatives (although non-financials remain subject to a reporting requirement in respect of modification and termination of transactions they have already reported once over the threshold).

That said, there are also areas where the Singapore proposals diverge from the US requirements, such as whether to require a party to indicate if a trade is entered into for hedging as opposed to speculative purposes. It remains to be seen whether the market regards MAS's proposals are worth the wait and whether letting other regional regulators show their hand before unveiling their own proposals will prove to be a shrewd move by MAS in the long run.

What is clear is that, for entities who are already dealing with reporting requirements in other jurisdictions, the differences between the Singapore proposals and similar requirements in other regions, particularly the EU, could lead to additional operational complexity and practical issues.

Key Issues to Consider

Differing ongoing monitoring and notification requirements

  • Singapore non-financial entities (or potentially even Singaporean branches of US or EU non-financial entities) will be subject to a local threshold requirement. Clearly, for these types of entity this presents yet another threshold to calculate, measure and monitor.

Intra-group transactions

  • The Consultation does not mention intra-group transactions. So query whether the reporting requirements apply to intra-group transactions at all?
  • If not, do intra-group transactions need to be taken into account in threshold calculations? Significant clarification is required on this and other issues around the threshold calculation as this could be the pivotal question in determining whether or not reporting requirements apply.

Group/regional aggregator concerns

  • The differences between regional approaches to regulation expose large groups, in particular, to the risk of conflicting treatments in multiple jurisdictions.
  • Large groups routinely transfer risk on a cross-border basis, centralising it in global or regional risk aggregators. If a group has a risk aggregator located in Singapore, these arrangements will need to be reviewed in the light of this and further forthcoming MAS consultations on derivative market reform.

Conflicting regimes

  • The Consultation briefly outlines the idea of MAS adopting a "substitutive compliance" approach in cases where there would otherwise be duplicative regulation (but this will depend on international consensus). If substitutive compliance is a solution, when can it be relied upon?
  • If the regimes' reporting requirements commence at different points in time, will parties have to comply with the earliest without recourse to substitutive compliance?
  • What is the situation where the counterparties are subject to different reporting requirements (e.g. with respect to timing, phase-in etc)?

Acting as agent

  • Some entities are not currently subject to reporting requirements, as they do not act as principal to any trades. Will these be brought into scope in Singapore by virtue of acting as agent?
  • Should there be active lobbying for MAS to designate jurisdictions in which principals already have reporting requirements as relevant reporting jurisdictions to minimise this potential issue?
  • Would brokers or agents located in Singapore be more reluctant to act for non-financial specified persons (NFSPs) (or charge higher fees) given that they could incur additional regulatory obligations in doing so?

Comparison of differing regulatory requirements

  • Can a trade repository outside Singapore be used to satisfy Singapore reporting requirements?
  • To which foreign trade repositories will MAS grant a licence?
  • Will MAS grant licences in time given the accelerated proposed reporting timescales and the fact that reporting and registration/authorisation of trade repositories in the EU in particular is an area in which the timetable is slipping?

Issues for NFSPs to consider

Even at its most simplified level, NFSPs would have to report over 35 data fields. Some of these may reflect those in the US and the EU (e.g. timestamp, Legal Entity Identifiers etc). But others, such as mark-to market and collateral value involve a value judgement and may not be based on the same criteria.

  • A non-Singaporean party should be cautious before agreeing or representing that any data it provides to a Singaporean entity would actually meet the local requirements.

Further Information

The Consultation Paper is available here.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.