Point Nine Implemented New MIFIR Validation Rules (Q2 2022)
Following the previous announcement sent on the 10th November 2021 pertaining to the European Securities and Markets Authority (ESMA) updated on its
MIFIR validation rules.
As per the ESMA announcement, the changes are expected to be released in the production environment on Q2 2022 to all National Competent Authorities (NCAs) and Approved Reporting Mechanisms (ARMs). ESMA will communicate the exact implementation dates in UAT/Production separately and we will keep you posted.
Point nine is always committed to delivering the highest quality of service and providing the best customer experience. Even though the changes will be applicable from Q2 2022, our team of experts have proactively implemented, tested and validated the new rules since the beginning of Q1 2022. The new rules will not require any further actions from our customers.
For any clarification please contact our Onboarding Team at onboarding@p9dt.com.
Below you will find all the changes in MIFIR validation rules (colour).
| Rule ID | Field No | FIELD | Validation Rule | Error Code | Error Text |
|---|---|---|---|---|---|
| 27 | 7 | Buyer identification code |
If LEI is used, this field shall be populated with a LEI accurately formatted and in the LEI database included in the GLEIF database maintained by the Central Operating Unit.
The following conditions shall be met for transactions executed on 3 July 2018 or later:
The following conditions shall be met for transactions executed until 2 July 2018:
|
CON-070 | Buyer LEI XXX is not valid |
| 41 | 11 | Buyer – date of birth | Date of birth in field 11 should not be later than trading date. | CON-110 | Date of birth is later than trading date |
| 43 | 12 | Buyer decision maker code |
If LEI is used, this field shall be populated with a LEI accurately formatted and in the LEI database included in the GLEIF database maintained by the Central Operating Unit.
The following conditions shall be met for transactions executed on 3 July 2018 or later:
The following conditions shall be met for transactions executed until 2 July 2018:
|
CON-120 | Buyer decision maker LEI XXX is not valid |
| 53 | 15 | Buy decision maker – Date of birth | Date of birth in field 15 should not be later than trading date. | CON-150 | Date of birth is later than trading date |
| 56 | 16 | Seller identification code |
If LEI is used, this field shall be populated with a LEI accurately formatted and in the LEI database included in the GLEIF database maintained by the Central Operating Unit.
The following conditions shall be met for transactions executed on 3 July 2018 or later:
The following conditions shall be met for transactions executed until 2 July 2018:
|
CON-160 | Seller LEI XXX is not valid |
| 70 | 20 | Seller – date of birth | Date of birth in field 20 should not be later than trading date. | CON-200 | Date of birth is later than trading date |
| 72 | 21 | Seller decision maker code |
If LEI is used, this field shall be populated with a LEI accurately formatted and in the LEI database included in the GLEIF database maintained by the Central Operating Unit.
The following conditions shall be met for transactions executed on 3 July 2018 or later:
The following conditions shall be met for transactions executed until 2 July 2018:
|
CON-210 | Seller decision maker LEI XXX is not valid |
| 82 | 24 | Sell decision maker – date of birth | Date of birth in field 24 should not be later than trading date. | CON-240 | Date of birth is later than trading date |
| 111 | 35 | Net amount | In case the CFI code is reported in field 43 (transaction in a financial instrument that is not admitted to trading): The field is mandatory for debt instruments, i.e. CFI reported in field 43 is DB**** (Bonds), DC**** (convertible bonds), DT**** (mendium term notes) or DN**** (municipal bonds). |
CON-350 | Net amount is missing |
| 262 | 35 | Net amount | In case the CFI code is available in the instrument reference data (transaction in an instruments admitted to trading): The field is mandatory for debt instruments, i.e. CFI of the instrument in the reference data is DB**** (Bonds), DC**** (convertible bonds), DT**** (mendium term notes) and DN**** (municipal bonds) |
CON-351 | Net amount is missing |
| 283 | 36 | Venue | If field 25 Transmission of order indicator is ‘true’, the trading venue field should be XOFF or XXXX. |
CON-362 | Trading venue field is incorrect |
| 284 | 37 | Country of the branch membership | This field must not be populated where field 36 is populated with ‘XXXX’ or ‘XOFF’ or a MIC pertaining to a Systematic Internaliser. |
CON-372 | Country of branch membership is inconsistent with the MIC populated in field 36. |
| 140 | 45 | Notional currency 2 |
This field is mandatory where field 43 is populated with:
|
CON-452 | Notional Currency 2 is missing |
| 250 | 45 | Notional currency 2 |
This field should not be populated where field 43 is populated with:
|
CON-453 | Notional currency 2 is not applicable for the given instrument |
| 117 | 37 | Country of the branch membership | This field is mandatory where: MIC populated in field 36 pertains to an EEA trading venue or trading platform outside the Union, excluding Systematic Internalisers (i.e. this field is not applicable can be left blank for transactions executed on Systematic Internalisers). |
CON-370 | Country of branch membership is missing |
| CON-412 | If at least 7 days has passed after the transaction submission (i.e. it is the 8th day after the submission) the transaction shall be rejected with the following error message: Instrument or MIC is not valid in reference data on transaction date |
||||
| 154 | 48 | Underlying index name |
This field is mandatory where field 43 is populated with
|
CON-480 | Direct underlying index name is missing |
| 264 | 48 | Underlying index name |
This field should not be populated where field 43 is populated with:
|
CON-481 | Underlying index name is not applicable for the given instrument |
| 166 | 53 | Option exercise style |
Field is mandatory where field 43 is populated with:
|
CON-530 | Option exercise style is missing. |
| 228 | 57 | Investment decision within firm |
Field should not be populated in reports where the transmitting firm identification code is not populated for the buyer or seller (fields 26 and 27) and the firm deals on a matched principal capacity (i.e. value ‘MTCH’ populated in field 29) or an any other capacity (i.e. value ‘AOTC’ populated in field 29) unless the decision maker field is populated with the LEI of the executing entity. This rule should be interpreted as follows:
Field 57 should be left blank (not populated) if:
|
CON-571 | Investment decision identifier should not be populated in reports where the firm deals on a matched principal capacity or an any other capacity unless the decision maker field is populated with the LEI of the executing firm. |
