Later today, FIF will send a survey to FIF members on Rule 605 for options. This is an opportunity for FIF members to provide input to the SEC before the SEC issues a rule proposal in this area. FIF requests that members provide their survey responses by September 13, 2021. Earlier responses are also welcome. All responses are anonymized.

FIF CAT Committee. The FIF CAT Committee discussed OATS retirement, which is scheduled for the end of August. The Committee reviewed CAT Alert 2021-03, which provides guidance on the transition to Phase 2d, including coordinated industry testing. The Committee reviewed the recent CAT Operating Committee and SEC filings relating to the CAT Operating Committee’s Revised Funding Model proposal. The Committee reviewed recent updates to the Phase 2d Reporting Scenarios and Technical Specifications. The Committee reviewed the recently published CAT CAIS CCID Reporting Scenarios. The Committee...

Broadridge has acquired the remaining stake in FIX-based post-trade solutions provider Alpha Omega to expand its matching offering for the buy- and sell-side. Following the acquisition, Broadridge has said it will consolidate Alpha Omega’s post-trade matching solution into its existing NYFIX connectivity and FIX infrastructure to improve trade matching automation. According to a story in The TRADE news, Broadridge acquired the FIX-based local matching solution developed by Itiviti and Alpha Omega, NYFIX Matching, alongside its other FIX infrastructure in May as part of its $2.5 billion...

Citigroup said it had become the first major global custodian allowed to operate an onshore fund custody business in China, tapping into the country's $19 trillion asset management industry. Citibank (China) Co Ltd obtained the approval from the China Securities Regulatory Commission (CSRC), according to a story in Reuters news. China is accelerating opening up its capital markets despite rising Sino-U.S. tensions. Citi has been providing cross-border securities services in China for more than two decades and plans to expand its investment banking business in the country.

The Depository Trust & Clearing Corporation (DTCC) announced the launch of an enhanced DTCC CDS Kinetics platform to support growing demand for more transparency into the credit default swaps (CDS) market within the over-the-counter derivatives space. DTCC CDS Kinetics provides position data on credit default swaps sourced from DTCC’s Trade Information Warehouse (TIW), offering notional outstanding, net notional, and trading volume metrics on securities including single-name, index, and index tranche. TIW is a centralized infrastructure for reporting and asset servicing on approximately...

Fidelity International has obtained Chinese regulatory approval to set up a wholly-owned mutual fund unit in the country, the China Securities Regulatory Commission (CSRC) said. The new company, to be based in Shanghai, can conduct mutual fund and private fund management business, CSRC said according to a story in Reuters news.

France’s BNP Paribas has been granted a license to provide custodian services for China’s qualified foreign institutional investor (QFII) scheme, the bank said. The scheme is one of the main channels used by foreign investors to buy Chinese stocks and bonds according to a story in Reuters news.

Virtu Financial, a multi-billion trading firm, has made a big move into the crypto market, announcing during its second-quarter earnings that it has been market making on major crypto venues. This is according to a story in Markets Media news. "Our expansion into cryptocurrency market making also continues to progress ... with crypto market-making doubling in Q2 versus Q1," noted CEO Doug Cifu. The firm has been active in the crypto market through its market making in futures and exchange-traded products in Canada. This is the first time Virtu has publicly said that it is trading spot...

The FIF Rule 606 Working Group met on July 29, 2021 to discuss look-through for Rule 606 reporting of options routing and to review a draft request for interpretive guidance relating to this issue. FIF will send out a survey this week requesting feedback from FIF members on next steps for FIF relating to this issue.