1. Established 2004
Networking, debates and
speakers you don't usually
meet elsewhere
Chatham House Rule

2. What we do
Networking Media
Research Advice

3. Recent Speakers
Brett King, Author, Bank 2.0 and Willem Buiter, Chief Vernon Hill, Vice Chairman,
Founder, Movenbank Economist for Citigroup Metro Bank (UK)
Andrew Tyrie, Chairman of the Peter Ayliffe, Chief Executive Sir Win Bischoff, Chairman,
Treasury Select Committee of Visa Europe Lloyds Banking Group

4. CAS-WG
The Clearing & Settlement Working Group (CAS-WG)
• A WORKING GROUP
• Interpretation of Regulatory Change on Clearing & Settlement
Infrastructures the City (and EU/Global)
• Liaison with Regulatory Authorities
• Technical infrastructure focus
• The MiFID Forum

5. CAS-WG
• Subject Groups
– Market Infrastructure Subject Group Chair: Kathleen Tyson-Quah of
Granularity Ltd
– Regulations Subject Group Chair: Greg Caldwell, Senior Partner at
aSource Global Ltd
– Technology Standards Subject Group Chair: Virginie O’Shea, Lead
Analyst with Aite Group and Grame Austin, CEO, ISITC Europe

6. Agenda
• Update from the Market Infrastructure Subject Group
– Kathleen Tyson-Quah, CEO of Granularity and Chair
• Panel Discussion of EMIR and other regulatory impacts on
post-trade
– John Fortescue, VP Prime Services, Credit Suisse Securities Europe
– Dave Grace, Post-Trade Securities Strategy, Global Operations, Barclays
Bank
• Break (15:30)

7. Agenda
16:00
• Update from the Technology Standards Subject Group
– Virginie O’Shea, AITE Group and Chair
• Update from the Regulations Subject Group
– Greg Caldwell, Senior Partner at aSource Global Limited and Chair
• Presentation and discussion of LEIs
– Andrew Douglas, Head of Government Relations in Europe, DTCC
– Graeme Austin, ISITC Europe
• Close (17:15)

8. Agenda
• Update from the Market Infrastructure Subject Group
– Kathleen Tyson-Quah, CEO of Granularity and Chair
• Panel Discussion of EMIR and other reuglatory impacts on
post-trade
– John Fortescue, VP Prime Services, Credit Suisse Securities Europe
– Dave Grace, Post-Trade Securities Strategy, Global Operations, Barclays
Bank
• Break (15:30)

9. Granularity
Ltd
Specialists in Financial
Infrastructure
CAS-WG MARKET INFRASTRUCTURE
Kathleen Tyson Quah
Granularity Ltd
ktq@granularityltd.com
+44 777 166 2000
11/12/2012 CAS-WG Plenary Meeting 9

10. Granularity
Overview of CAS-WG MI Group Ltd
Specialists in Financial
Infrastructure
• 6 meetings in 2012
• Key themes:
– Evolving regulation of cleared and uncleared OTC
products and support infrastructure needs
– Margin asset eligibility and collateral management
– Mapping market infrastructure complexity (EMIT)
– Price discovery and reference rates (LIBOR)
– Integration of new data standards (LEI, ISDA OTC
Derivatives Taxonomy, Unique Swap Identifiers)
11/12/2012 CAS-WG Plenary Meeting 10

11. Granularity
Introducing EMIIT Ltd
Specialists in Financial
Infrastructure
Enriched Market Infrastructure Illustration Tool
11/12/2012 CAS-WG Plenary Meeting 11

12. Granularity
EMIIT for LCH-Clearnet Ltd
Specialists in Financial
Infrastructure
11/12/2012 CAS-WG Plenary Meeting 12

13. Granularity
Enrichment Ltd
Specialists in Financial
• Self-enrichment or community enrichment Infrastructure
(e.g., Facebook and/or Wikipedia models)
• Market infrastructure maintains current information
• Market users supplement information with additional
relevant analysis, applications and/or commentary
• Decision-relevant information
• Rules and legal framework
• Regulation and supervision
• Performance data
• Volumes and flows
• Processing timelines and requirements
• Data standards and processing templates
11/12/2012 CAS-WG Plenary Meeting 13

14. Granularity
Possible uses Ltd
Specialists in Financial
Infrastructure
• Buy-Side and Sell-side use to map participation
– Better planning of infrastructure integration projects
– More efficient management of complex infrastructure
processing
– More efficient liquidity and asset planning/projections
• Consultation to user groups on proposed changes
– Rules (e.g., Margin requirements or eligibility)
– Processing requirements
• Test lab for
– Regulatory changes
– Processing changes
11/12/2012 CAS-WG Plenary Meeting 14

15. Agenda
• Update from the Market Infrastructure Subject Group
– Kathleen Tyson-Quah, CEO of Granularity and Chair
• Panel Discussion of EMIR and other reuglatory impacts on
post-trade
– John Fortescue, VP Prime Services, Credit Suisse Securities Europe
– Dave Grace, Post-Trade Securities Strategy, Global Operations, Barclays
Bank
• Break (15:30)

17. Agenda
16:00
• Update from the Regulations Subject Group
– Greg Caldwell, Senior Partner at aSource Global Limited, Chair
• Update from the Technology Standards Subject Group
– Virginie O’Shea, AITE Group and Chair
• Presentation and discussion of LEIs
– Andrew Douglas, Head of Government Relations in Europe, DTCC
– Graeme Austin, ISITC Europe
• Close (17:15)

18. Regulation Subject-group
Combination implications
E.g. “Short Selling Regulation…LCH going…to impose penalties and buy-ins on
anything that clears on EquityClear. Equity trades will also be captured by CSD-R
and its settlement discipline regime, so in the case of a UK Equity clearing at LCH
and settling at Crest we face the situation where we get hit for the same trade in
two places - LCH under short selling and Crest under CSD-R.”
‗Test lab‘ approach
18
Copyright Greg Caldwell 2012

19. Regulation Subject-group
Conclusions From Last Session (October)
— Because financial institutions don‘t want to attract the attention of the
regulator, industry groups can be very useful to represent them
anonymously.
— Regulation subject-group‘s main use is in the areas of: 1) inventory of
what‘s important; 2) combinatorial implications.
— Scope limitation
o We will take the perspective of a UK location
o We will only look at functions of the trade life-cycle
— Participants dimension
o Participants need to be broken down further by their category as
qualifying under the relevant regulation. Many regulations with different
categorisation makes this unwieldy
— We will use the MiFID categorisation as a basis for this.
19
Copyright Greg Caldwell 2012

20. Regulation Subject-group
Copyright Greg Caldwell 2012

21. Agenda
16:00
• Update from the Regulations Subject Group
– Greg Caldwell, Senior Partner at aSource Global Limited, Chair
• Update from the Technology Standards Subject Group
– Virginie O’Shea, AITE Group and Chair
• Presentation and discussion of LEIs
– Andrew Douglas, Head of Government Relations in Europe, DTCC
– Graeme Austin, ISITC Europe
• Close (17:15)

22. CAS-WG Technology Standards
Co-chair Virginie O’Shea
(post-trade technology analyst at Aite
Group)

23. Technology Standards Group Agenda
• To identify the common message standards and
data requirements for post-trade space resulting
from regulation
• To examine and highlight adoption of specific
formats and standards used by market
infrastructures – message requirements etc
• To highlight work that is currently ongoing within
the industry around data standards and market
practices in the post-trade space -highlight any
conflicts or gaps

24. Aims
• Tracking industry standards and market
practices progress – living document
• Identify areas of common interest
• Map to clearing and settlement lifecycle –
where are standards lacking? Are regulators
developing practical requirements?
• Which data standards are currently being used
by the incumbent market infrastructures?

25. European-level standards setting
framework – via ESMA
• ID standards: Mention of LEI, BIC and BEI;
unique trade identifier; unique product ID
• Clearing and settlement – market practice
implications of CSDR and EMIR
• Trade repository reporting market practices

26. Areas of Focus
Topics closest to the top of your agendas that
we should focus on initially:
• New data standards – LEI, UPI, USI, UTI etc
• Messaging standards – FIX, ISO, FpML etc
• Market practices for C&S process-
allocation, confirmation, affirmation, settleme
nt , low tech clients, reconciliation

27. Agenda
16:00
• Update from the Regulations Subject Group
– Greg Caldwell, Senior Partner at aSource Global Limited, Chair
• Update from the Technology Standards Subject Group
– Virginie O’Shea, AITE Group and Chair
• Presentation and discussion of LEIs
– Andrew Douglas, Head of Government Relations in Europe, DTCC
– Graeme Austin, ISITC Europe
• Close (17:15)

28. UPDATE:
LEI Initiative & Implementation Of CFTC
Compliant Interim Identifier (CICI)
Andrew Douglas
awdouglas@dtcc.com
December 2012
© DTCC

29. CFTC CICI Implementation
• CFTC Swap Record Keeping and Reporting Rule (Part 45)
– Reporting firms must identify themselves & counterparties with CICIs on
transactions submitted to registered swap data repositories (SDR)
– Effective reporting dates :
– October 12, 2012 for Interest Rate and Credit, or upon registering as a swap
dealer or MSP (Dec 31, 2012)
– January 10, 2013 for FX, Commodity and Equity Derivatives: or upon
registering as a swap dealer or MSP
– Transactions between two non swap dealers or two non-major swap
market participants follow 3 months later - April 10, 2013
– All non-major swap market participants are expected to self-
register for a CICI, or certify its CICI record if registered by another
party, by April 10, 2013 and to maintain the record thereafter
– The CFTC‘s Q&A on the start of swap data reporting clarifies all this at:
http://www.cftc.gov/ucm/groups/public/@newsroom/documents/file/startr
eporting_qa_final.pdf
© DTCC 29

30. CFTC CICI Implementation
– Industry RFP process held in early 2012
– DTCC/SWIFT solution chosen by CFTC as the CICI Utility on July 24th
2012
– Launch Date of CICI Utility: August 21, 2012 at www.ciciutility.org
– CICI expected to transition into global LEI solution; governance
framework implementation targeted for March 2013
© DTCC 30

31. CICI utility development
• Volume continues to build. Opened with 24,000 CICIs on August 21, 2012
– Since then 9,800 registrations via the ciciutility.org portal
– 5,800 additional registrations by bulk file
• In November made two changes to meet FSB Guidance:
– Changed from Third Party Registration to Assisted Registration (explicit
permission required)
– Changed the structure of the ISO 17442 number issued for all new CICIs
• Implemented Bulk Files for Self Registration and Assisted Registration
– Receiving heavy volume from asset managers looking to obtain CICIs to update
Master Agreements per the ISDA Protocol
• Building out global federation in partnership with ANNA and others
– WM Daten (Germany) has received an LEI prefix from the FSB
• Continue to share information about the solution in anticipation of other
OTC Derivative reporting rules
– e.g., ESMA, Japan, Hong Kong
© DTCC 31

32. Structured ISO LEI 17442 Number
• All CICIs issued prior to November 30, 2012 constructed using a random 18
character alphanumeric string, followed by two check digits.
• October 24, 2012, FSB announced its decision to build a structured number to
facilitate a federated operating model – essentially each LOU will have a different 4
character prefix
• CICI Utility implemented the new structured number on Nov. 30, 2012.
• FSB stated that ―This approach does not affect ISO 17442 compliant numbers issued
prior to that date. Once the global LEI system is in place, pre-LEI codes issued
according to the ISO 17442 standard will be transitioned into LEIs, subject to
meeting the agreed global LEI standards…..‖
• CICIs issued prior to November 30, 2012 will not change, will continue to be used for
the entities to which they are assigned, and will transition into the global LEI
system, once operational.
© DTCC 32

33. Some planned CICI system enhancements
• Federation of Registration and Validation
• Expanded Multi Language Support
• New ISO 17442 Fields (HQ address, company
registration number, entity expiry date & reason)
• Bulk Certification File
• Push notifications/API for file downloads
• Web search Improvements
• Additional Payment Methods
© DTCC 33

34. Agenda
16:00
• Update from the Regulations Subject Group
– Greg Caldwell, Senior Partner at aSource Global Limited, Chair
• Update from the Technology Standards Subject Group
– Virginie O’Shea, AITE Group and Chair
• Presentation and discussion of LEIs
– Andrew Douglas, Head of Government Relations in Europe, DTCC
– Graeme Austin, ISITC Europe
• Close (17:15)

35. CAS-WG
The Clearing & Settlement Working Group (CAS-WG)
• A WORKING GROUP
• Interpretation of Regulatory Change on Clearing & Settlement
Infrastructures the City (and EU/Global)
• Liaison with Regulatory Authorities
• Technical infrastructure focus
• The MiFID Forum

36. CAS-WG
• Subject Groups
– Regulation
– Technology Standards
– Market Infrastructures
• If you want to join a Subject Group, sponsor the CAS-WG or
more on the Financial Services Club
– email: events@fsclub.co.uk or admin@balatroltd.com
– tweet: @FSClub
• Next plenary meeting planned for February 2013

37. Christmas Party
Tomorrow Night
35 New Broad Street
(IOD Hub)