Transaction Reporting

November 8, 2007

The Dealer Data Quality – Summary of Correspondent’s Trades (DDQ-SC) complements  the Dealer Data Quality – Summary (DDQS).  The DDQ-SC provides information to correspondent dealers that parallels the information the DDQS provides to clearing dealers.

The DDQ-SC has the same categories of data quality information as the DDQS, but it attributes trades to dealers differently.  In both reports, the dealer that is the subject of the report is identified by its MSRB Number (e.g., A1234 or B1234).  The DDQS counts inter-dealer trades and customer trades cleared by the dealer, but does not count inter-dealer trades that were cleared through another dealer.  In contrast, a dealer’s DDQ-SC counts:

• Inter-dealer trades effected by the dealer, whether the trades were self-cleared or were cleared by any other dealer,
• Customer trades effected by the dealer, and
• Any inter-dealer trades cleared by the dealer but which do not have an executing broker symbol (EBS) known to the MSRB.

The DDQ-SC also includes a “Lateness Breakout – Correspondent’s Trades,” which  provides detailed lateness information about the trades.

Trades Grouped by EBS-Clearing Combinations

A dealer may use more than one EBS for trade reporting, or may clear trades through more than one clearing dealer.  The trades are grouped together on the DDQ-SC  according to each EBS-clearing ID combination that was reported by the dealer during the month by the dealer.  If a dealer reports trades with more than one EBS or through more than one clearing dealer, each combination is tabulated separately.  Any inter-dealer trades reported without an EBS, or with an EBS not known to the MSRB,[1] are on the DDQ-SC report for the dealer that cleared the trades, because RTRS cannot determine who effected the trades.

Formats of the Report

The report is available to dealers via RTRS Web.  A dealer may view or print its report from its browser, or may download the report as a spreadsheet.  In either format, separate “tabs” will show combinations of clearing ID and EBS reported by the dealer.  In the example below, the dealer has used both “ABCD” and “OTHR” to report trades through clearing broker 0221.  Tabs at the bottom distinguish ABCD (0221) from OTHR (0221).

Exceptional Reporting Scenarios

The DDQ-SC reports certain exceptional scenarios as follows:

• Inter-dealer trades that do not have any EBS are counted on a tab labelled, “No EBS.”  As stated above, this tab is part of the clearing dealer’s DDQ-SC report.

• If a clearing dealer erroneously puts the correspondent’s EBS on a trade submitted for comparison, the correspondent’s report will show this fact.  If the correspondent did not effect the trade, the correspondent should notify the clearing dealer and the clearing dealer should correct the error.

• If a dealer submits customer trade reports through more than one clearing dealer, the DDQ-SC breaks out the trades by each combination.  For example, if dealer ABCD reports customer trades through dealer 0123 and also through 9876, there are tabs for ABCD (0123) and ABCD (9876).  This distinction may be useful to the dealer for information purposes, but is not important for regulatory purposes.

• If a firm does not report any trades during a month, the DDQ-SC is available based on its MSRB Number, but instead of the clearing ID and EBS, the report  displays “NO EBS FOUND” and shows that zero trades were found.

Period Covered by DDQ-SC

Each DDQ-SC report covers trades processed by RTRS during one month.  DDQ-SC reports are available from October 2007 and forward.  MSRB plans to make the report available each month on or shortly after the 15^th day of the month, covering the preceding month.

Availability of DDQS and DDQ-SC Reports

Both the DDQ-SC and the DDQS reports are available to all dealers.  A dealer may obtain either or both reports through RTRS Web. 

Revision History

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