Under the Financial Instruments and Exchange Act, a central counterparty sends information on the trades for which it has assumed the obligations. Financial instruments business operators, etc. send, as a rule, information on their trades other than those for which a central counterparty has assumed the obligations. Of the trades for which a central counterparty has assumed the obligations, only those that a Cabinet Office order specifies are covered. The information goes to a trade repository or a designated foreign trade repository, which is an entity that does the same kind of business abroad and has been designated by the Prime Minister1.

A trade repository publishes the size and other details of the reported trades2. The Financial Services Agency's guidelines on reporting items also call a trade repository a TR (for example, in a report that moves a trade from one TR to another)3.

Notes

  1. "金融商品取引法" (Financial Instruments and Exchange Act, in Japanese; English translation: Japanese Law Translation), Article 156-63, paragraph 1; Article 156-64, paragraph 1; Article 156-65, paragraphs 1 and 2; Article 156-67, paragraph 1. ↩

  2. "金融商品取引法" (Financial Instruments and Exchange Act, in Japanese; English translation: Japanese Law Translation), Article 156-66, paragraph 1. ↩

  3. Financial Services Agency, "店頭デリバティブ取引等の規制に関する内閣府令第４条第１項で定める作成・保存・報告事項 ガイドライン" (Guidelines on the items to be prepared, retained, and reported under Article 4, paragraph 1 of the Cabinet Office Order on the regulation of OTC derivatives transactions, our translation) (December 2022), Attachment 1, item 101 "Action type", definition (Transfer out), page 26 (in Japanese). ↩