Rimes Launches Benchmarks Regulation Solution

The BMR aims to introduce a common framework and consistent approach to benchmark regulation across the EU. Supervised entities that use indices as benchmarks and issue financial instruments or contracts that reference an index are considered BMR users. As such, they are required to determine which of the indices they use constitute a benchmark and whether they can use those benchmarks in the EU. If any of the benchmarks are withdrawn under the regulation, firms must have a substitute benchmark at the ready.

RegFocus BMR Control helps users determine whether they are a benchmark administrator, contributor or user, and if so, for which benchmarks. The solution’s inventory management system provides an understanding of indices and benchmarks used by a firm, with immediate alerts showing any areas at risk of non-compliance. RegFocus BMR Control includes data enrichment capabilities that allow users to augment attributes from one or a set of benchmarks. It also draws upon Rimes’ library of millions of benchmarks to create substitute benchmarks instantly.

Bruno Piers de Raveschoot, COO of Rimes Regulatory Division, says many on the buy side will struggle to comply with the BMR by the Jan. 1, 2018 deadline if they opt for a traditional, in-house route.

“Our technology integrates seamlessly with the systems of benchmark users to provide a real value-add: a system that delivers a comprehensive benchmarks inventory, proactively alerts firms about non-compliance, and enriches benchmarks data. I’ve heard from some clients that without such technology, it is literally impossible to comply with the BMR,” Piers de Raveschoot says in a statement.