A-Team Insight Blogs

DSB Industry Consultation Calls for Improved Data Quality and Cybersecurity

Share article

Following our recent report on the results of the Derivatives Service Bureau’s (DSB’s) first 2019 industry consultation the Bureau has today released the results of its second 2019 industry consultation.

In line with the first 2019 report, the second shows ongoing industry interest in further analysis of DSB functionality with a view to the delivery of improved data quality, standardisation and automation, as well as further strengthening of the organisation’s cybersecurity processes and governance.

The second consultation closed on the July 29, 2019, with nine responses representing 12 institutions, four of which were trade associations. Industry concurred with 80% of the proposals set out in the second consultation paper, leading to half of them being taken forward for analysis to better understand their potential benefits and impact.

The industry requested that the DSB undertake further analysis, for example, on leveraging the ISIN-LEI service to provide LEI and other supplemental data to further improve data quality. By placing the LEI mapping table in the product mapping template, the data enables anyone consuming the ISIN record to have easier access to LEI mapping. This, in turn, offers the potential to improve downstream processing. The DSB will conduct a cost-benefit analysis of this solution on a business as usual basis, with no cost impact to users.

Another industry request for more analysis resulting from the second consultation, was for the DSB to look at the CFI code coverage it provides and whether and how it needs to be taken forward for implementation. Evaluation will also be undertaken by the DSB to ascertain whether and by how much the annual fee determination process can be brought forward in 2020.

Following industry feedback, an industry Agreement Forum will be formed to commence work in relation to multiple or group-wide agreements with the aim for recommendations to be included in the annual industry consultation in 2020.

Industry interest in the adoption of international best practice on cybersecurity governance has been met by the DSB with the creation of a part-time Chief Information Security Officer (CISO), who will be tasked with strengthening the DSB’s cybersecurity processes. The DSB will review the role in 2020 to determine the most effective way to enhance cybersecurity governance in the medium term.

Malavika Solanki, a member of the DSB management team, says that with industry ideas driving developments, the DSB is pleased with the partnership-driven approach that is emerging. She comments: “As we continue to adopt user sourced initiatives, we are increasingly focusing on aiding consistent use of data contained within the OTC ISIN record. We have also observed an evolution from use of OTC ISINs for MiFID II RTS 23 purposes to improved integration in users’ infrastructures as the industry realises the benefits of using OTC ISIN records in its own workflow processes.”

Along with the second consultation report, the DSB published a draft 2020 DSB Access and Usage Agreement and associated policies, giving visibility of potential changes and an industry comment period with a deadline of September 2, 2019. A final version of the agreement will be published on September 20, 2019.

Leave a comment

Your email address will not be published. Required fields are marked *

*

Related content

WEBINAR

Upcoming Webinar: Data lineage – how to ensure you can deliver the right information, to the right people, at the right time

Date: 10 October 2019 Time: 10:00am ET / 3:00pm London / 4:00pm CET. Data lineage is critical to digital transformation, business decisions and regulatory compliance. It is also difficult to implement at scale, not only because large quantities of data across numerous systems must be inventoried and tracked, but also because the data is not...

BLOG

Danske Bank Implements AIM Data Portal to Centralise and Optimise Reference Data

Danske Bank is implementing AIM Software’s GAIN Data Portal to centrally source, monitor and optimise the bank’s reference data and snapped prices from a leading data provider. Subject to requirements, the bank will broaden data coverage with additional vendors. Danske Bank was looking for a solution that would help it stage and distribute its data...

EVENT

Data Management Summit London

Now in its 8th year, the Data Management Summit (DMS) in London explores the shift to the new world where data is redefining the operating model and firms are seeking to unlock value via data transformation projects for enterprise gain and competitive edge.

GUIDE

Entity Data Management Handbook – Fifth Edition

Welcome to the fifth edition of A-Team Group’s Entity Data Management Handbook, sponsored for the fourth year running by entity data specialist Bureau van Dijk, a Moody’s Analytics Company. The past year has seen a crackdown on corporate responsibility for financial crime – with financial firms facing draconian fines for non-compliance and the very real...