TriOptima, a provider of OTC derivative post trade risk services, has offered a solution to the unmatched trade problem reporting institutions are facing in European trade repositories, through its triResolve service for portfolio reconciliation.

Under European Markets Infrastructure Rregulation (Emir) reporting rules, implemented in February 2014, firms can either send their trade data directly to a repository or they can delegate another firm to send the data on their behalf. Trades sent to the repository by each counterparty or its representative should have UTIs (Unique Trade Identifiers) and LEIs (Legal Entity Identifiers) so they can be matched.

A large number of trades have been sent to the repositories without UTIs or LEI’s, and even when these are included they frequently do not match. This prevents the pairing of trades between and within repositories.

The absence or mismatch of a UTI prevents reporting firms from validating the trade data sent to the repositories and fulfilling their responsibility to ensure the accuracy of reported data. triResolve repository reconciliation uses reconciliation functionality of triResolve, and offers an alternative way to identify unmatched trades.

“triResolve’s repository reconciliation is the only place where firms get a complete picture of all reported data fields for both sides of a transaction, and can work to correct the discrepancies,” said Raf Pritchard, CEO of triResolve.

In the triResolve repository reconciliation service, firms send directly or authorize the trade repositories to send their repository records to triResolve. triResolve is able to match trades without UTIs or LEIs which cannot be achieved in the repositories.

triResolve can also identify discrepancies across the approximately 60 additional data fields so firms can resolve the data problems and agree the identifiers and trade terms with their counterparties.