ESMA Transaction reporting exchange mechanism (TREM)

As part of the Markets in Financial Instruments Directive (MiFID II), we  share certain transaction reports with other EEA Competent Authorities. This is done through the ESMA Transaction reporting exchange mechanism (TREM). 

We use ESMA TREM to send transactions in financial instruments:

  • to the relevant competent authority (RCA), where we are not the RCA. The RCA is the competent authority in charge of the most relevant market in terms of liquidity for a particular instrument
  • to the RCA for the underlying when the financial instruments is a transaction in an over the counter (OTC) derivative transaction or a transaction executed on a non-EEA organised trading platform
  • where the underlying is an index or a basket and another competent authority (CA) is the RCA of one of the constituents of the basket

We also use ESMA TREM to send transaction reports based on:

  • the CA relevant for the branch of the buyer
  • the CA relevant for the branch of the seller
  • the CA relevant for the branch whose market membership was used to execute the transaction
  • the CA relevant for the branch making the investment decision
  • the CA relevant for the branch executing the transaction
  • the CA of the trading venue or Systematic Internaliser where the transaction took place
  • the CA has registered an interest in the index in case the underlying instrument is an index listed in reference data
  • CA’s when there has been a standing request

All transaction reports are only made to the home competent authority, regardless of whether a branch is involved.