Trésorier/Treasurer magazine - N°84 - Jan/Feb/Mar 2014 - (Page 8)
Interview with Martin Sadleder,
Founder of Treamo Business
Consulting based in Vienna.
- In your view what are the key
challenges for corporate treasurers
with the EMIR regulation?
LE MAGAZINE DU TRESORIER / TREASURER MAGAZINE - N°84 - JAN
/ FEV / MAR 2014
First of all, EMIR stipulates some definitely useful requirements especially in
terms of risk mitigation. With or without
EMIR, every corporate dealing derivative instruments should be compliant
The key challenges of EMIR are mostly
related to the reporting obligation and
to two main aspects. First of all, EMIR
requires a lot more information (in terms
of classification of the derivative or the
counterparties), secondly the standards
that have been defined for the exchange
of messages with Trade Repositories go
far beyond the technical standards for
just sending spreadsheets back and forth.
Furthermore, ESMA has defined the -
meanwhile - famous 85 reporting fields,
but without having defined validation
rules for the reporting of the individual
instrument categories. This is somehow interesting because the fields have
obviously been defined without performing a serious reality check. By the time
that we answer your questions (mid of
October 2013) we still have to cope with
the fact that also none of the repository candidates offer answers to these
questions. It looks like the requirements
and their consequences for the economy
in general and especially for corporates
have been either totally underestimated by the European authorities, or
somebody there had been hoping,
that somebody else will do the job
for them. Either way, this was not a
masterpiece in terms of specification
and communication at all.
Considering the fact that all market
participants will have to pay for the
reporting to the Trade Repositories, this is just very little service.
Furthermore there will be additional costs due to modifications or
updates of existing systems, etc.
The different current regulations EMIR or ESMA
require treasurers new constraints, there are
not easy to implement, especially in terms of
reporting or compliance. In recent months,
Martin Sadleder, Treamo, has been intensively
involved with EMIR and is widely regarded as
one of the leading European consultancy firms
in this area.
- What is EMIRate offering as solution
for ESMA reporting?
Once we had understood what ESMA expects from corporates and
what Trade Repository candidates had been offering as means for
the reporting itself, we decided that corporates deserve something
more useful and helpful, especially with regards to usability and
automation. We also saw that neither banks nor vendors of treasury
systems showed a noticeable interest in extending their services
and offerings with regards to EMIR.
To come back to the question - EMIRate is a Cloud-based
Software-as-a-Service solution. It is of course software, but
more importantly a service in the best sense. It supports corporate treasurers by picking up data from source systems like TMSs
or spreadsheets, by validating the data and by sending it to the
Trade Repository. The software also returns all repository messages
waiting for the individual client which include status messages
as well as reports indicating the reconciliation status of each and
every single derivative.
On top, EMIRate provides all the necessary data for reconciliation purposes as well as the calculation of clearing thresholds at
the press of a button. It has a direct link to REGIS-TR with which
Treamo has a partnership with. We picked REGIS-TR because they
were the first offering a test environment and at least for us seemed
to be ahead of other providers and also interested in supporting
- Why corporates should pass via your software rather
than directly reporting to a Trade Repository (TR)?
First of all, we invested a lot of time and effort in usability and
automation and we seem to have achieved our goals in time, but
secondly we are, as mentioned before, not just a software but a service provider, taking into account the specific needs of corporates.
We, for example, have defined and will - once all validation rules
are known - define more instrument specific forms that will allow
Martin Sadleder is managing director of Treamo
Business Consulting, a globally active consultancy
firm specializing in treasury management and the
development of corresponding software tools.
Treamo is a partner of REGIS-TR, one of the future
Table des matières de la publication Trésorier/Treasurer magazine - N°84 - Jan/Feb/Mar 2014
FINANCIAL HIGHLIGHTS Luxembourg Tax News
INTERVIEW Martin Sadleder- Treamo Business Consulting
15 MINUTES WITH CRX Markets
THE FINANCIAL RISK OBSERVATORY
Trésorier/Treasurer magazine - N°84 - Jan/Feb/Mar 2014