Obligation to report transactions applies to all counterparties of derivatives transactions, only private individuals are excluded. This means that both counterparties to a derivatives transaction must report the transaction, modifications to the transaction and termination of the transaction to a licensed trade repository of their choosing. Reporting obligation can also be delegated to the other counterparty or to a third party. Transaction has to be reported no later than the working day following the conclusion, modification or termination of the transaction.
In transaction reports the counterparties to the transaction must be identified by Legal Entity Identifier (LEI), which is a new identifier developed globally to identify counterparties to financial transactions. Until LEI format and issuing principles are finalized, an "interim" LEI code (or pre-LEI) must be used.
Obtaining LEI (or equivalent identifier) is the responsibility of each counterparty to a derivatives transaction.Raiffeisenbank /Bulgaria/ EAD can refuse to conclude new derivatives transactions with clients who do not have a required identifier. Organizations issuing LEIs are listed on webpage www.leiroc.org. Costs related to obtaining and maintaining the LEI (or equivalent identifier) have to be borne by the client.
Reporting obligation is expected to come into force on February 12, 2014. In addition to new transactions concluded from that date forward also all derivatives transactions that were open on August 16, 2012 or have been concluded after that date have to be reported.