The Financial Industry Regulatory Authority (FINRA) has indicated that requirements for regulatory reporting of MBS and ABS trades through TRACE will become effective on February 14, 2011.
This TRACE reporting requirement will involve reporting to FINRA but no public dissemination. This subject will be implemented through a separate notice and comment period.
Consistent with amendments to the initial rule filing, the 6-month transition period that will allow T+1 reporting for all MBS/ABS trades will end August 14, 2011.
The Securities Industry and Financial Markets Association (SIFMA) in response, said that through its standing MBS/ABS TRACE Implementation Working Group, they will continue to develop and address member concerns regarding this implementation, and plan to undertake a similar process as was followed regarding the implementation for Agency debt. This will involve using our Working Group to aggregate and organize member concerns, and follow up with FINRA for their commentary and feedback.
SIFMA also said it plans to organize a meeting of its working group in the near future to begin this process.