Harmonisation of the Unique Product Identifier - second consultative report

August 2016

G20 Leaders agreed in 2009 that all over-the-counter (OTC) derivatives contracts should be reported to trade repositories (TRs) as part of their commitment to reform OTC derivatives markets in order to improve transparency, mitigate systemic risk and protect against market abuse. Aggregation of the data reported across TRs is necessary to help ensure that authorities are able to obtain a comprehensive view of the OTC derivatives market and activity.

Following the 2014 FSB Feasibility study on approaches to aggregate OTC derivatives data, the FSB asked the CPMI and IOSCO to develop global guidance on the harmonisation of data elements reported to TRs and important for the aggregation of data by authorities, including the Unique Transaction Identifier (UTI) and the Unique Product Identifier (UPI).

This consultative report is one part of the CPMI-IOSCO Harmonisation Group's response to its mandate. It makes proposals for the harmonised global UPI, whose purpose is to uniquely identify OTC derivative products that authorities require to be reported to TRs. The UPI system will assign a code to each OTC derivative product that maps to a set of data elements describing the product in a corresponding reference database. The first consultative report on the Harmonisation of the UPI was issued in December 2015. The focus of this second consultative report is the format of the UPI code and the content and granularity of the UPI data elements.

The report seeks comments from respondents by 30 September 2016, to be sent to both the CPMI secretariat and the IOSCO secretariat.

Besides the consultative reports on the harmonisation of the UPI, the CPMI and IOSCO have already issued a consultative report on Harmonisation of the Unique Transaction Identifier and Harmonisation of key OTC derivatives data elements (other than UTI and UPI) - first batch and plan to issue consultative reports on further batches of key data elements (other than UTI and UPI) in the coming months.