The UTI is a reference code up to maximum 52 characters to uniquely identify individual OTC derivatives transactions on reports to Trade Repositories (TRs). In particular, a UTI will help to ensure the consistent aggregation of OTC derivatives transactions by minimising the likelihood that the same transaction will be counted more than once.
The key characteristics of UTI codes are:
Neutrality: The UTI is globally applicable and the generation of the UTI should not reflect jurisdictional differences. While reporting is reflective of jurisdictional variations (e.g. dual sided or single sided reporting), the generation of the UTI should be flexible enough to meet the vast majority of generation needs.
Uniqueness: Every reportable transaction should have a unique UTI. Different reportable transactions should each have their own UTIs. No UTIs should be reused even if the previous use was on a transaction that is no longer open.
Consistency: Any individual transaction should have the same UTI even if such transaction is reported more than once to facilitate transactions' matching while contributing to the avoidance of double-counting.
Persistence: A transaction should keep the same UTI throughout its lifetime. This continuity facilitates the handling of amendments and updates to a report. Some life cycle events affecting existing OTC derivative transactions create one or more new reportable transactions, which such reportable transactions would then each require a new UTI.
Traceability: If one transaction is replaced by another transaction with a different UTI, then there should be a means of relating the transactions before and after such a change of UTI. Traceability assists in understanding the evolution of transactions and provides an audit trail.
For the full list of characteristics of the UTI, please refer to the UTI Technical Guidance.
The UTI Code is structured as follows:
Character length: Consist of up to maximum 52 alphanumeric characters.
Character representations: Upper case alphanumeric characters (A-Z and 0–9 only).
Characters 1-20: The legal entity identifier of the generating entity, as represented in ISO 17442.
Characters 21-52: Characters of a unique identifier assigned to the transaction by the generating entity without separators.
The globally harmonised UTI has been published by the International Organisation for Standardisation (ISO) as International Data Standard on 4 August 2020 (ISO 23897:2020 Financial services - Unique transaction identifier (UTI))
The UTI Technical Guidance was published by CPMI and IOSCO on 28 February 2017 as technical guidance to authorities. The UTI Technical Guidance covers not only the UTI Data Standard (including the UTI's structure and format, its length, which characters should be used in its construction, see section The Unique Transaction Identifier) but also:
The circumstances in which a UTI should be used, i.e. for reportable transactions that have not previously been allocated a UTI.
The impact of lifecycle events on the UTI, through setting out principles that provide guidance on when a lifecycle event should or should not cause a new UTI to be used.
Which entity (or entities) should be responsible for generating UTIs, with the aim of ensuring that there is a well-defined entity responsible for UTI generation for every transaction while respecting the different nature of transactions and providing flexibility.
When UTIs should be generated, considering the reporting time scales imposed by different jurisdictions.
The ROC, in its capacity of International Governance Body (IGB), is now in charge of a number of responsibilities spelled out in the UTI Governance Arrangements (FSB, December 2017) and now included in the ROC Charter (see also Mandate of the ROC), including updates or changes to the UTI Technical Guidance as necessary. Updated versions of the UTI Technical Guidance may be available among the ROC's publications.
The UPI is a 12-character reference code to uniquely identify any OTC derivative reported to trade repositories. Each UPI code is mapped to a set of data (the so called reference data elements) with specific values that together describe the product (e.g. the data element "Asset class" may contain values representing "Credit", "Rates", "Commodities", "Equities" or "Foreign Exchange"). The combination of the UPI code, UPI reference data and the process of assigning a UPI code to a particular set of reference data represent the UPI System. UPI service provider(s) provide for timely issuance of UPI codes and maintain their associated reference data.
The key characteristics of the UPI are:
Jurisdiction neutrality: It helps ensure that the UPI System is globally applicable and therefore facilitates aggregation. All values that are included in an OTC derivative product's reference data should be standardised to the fullest extent practicable.
Uniqueness: Every reportable OTC derivative product should be identified by one UPI code and by a distinct set of UPI reference data elements and their values. Different reportable OTC derivative products should have different sets of UPI reference data elements and their values and hence different UPI codes.
Consistency: The UPI reference data should describe each OTC derivative product using a consistent set of UPI reference data elements. Different asset classes may utilise different sets of UPI reference data elements to represent different instrument and underlier characteristics specific to an asset class.
Persistence: An OTC derivative product, once described using the UPI reference data elements and assigned a particular UPI code, should keep the same UPI reference data element values and UPI code, as far as practicable.
Adaptability: The UPI reference data element values should be capable of adapting swiftly to market changes and innovations, including the introduction of new OTC derivative products as well as to the evolving aggregation needs of authorities in response to those changes. The allowable values for each UPI reference data element should be capable of readily incorporating required changes.
For the full list of characteristics of the UPI, please refers to the UPI Technical Guidance.
The UPI code is structured as follows:
The two-character prefix "QZ".
Nine alphanumeric characters (upper case A-Z and 0-9 only, excluding the vowel characters (A, E, I, O, U) and the character Y) without separators or special characters.
One alphanumeric check character (A-Z and 0-9 only, excluding the vowel characters (A, E, I, O, U) and the character Y).
The globally harmonised UPI is currently being set by ISO as International Data Standard (ISO 4914 Financial services – Unique Product Identifier (UPI)).
UPI Reference Data Library
It refers to the collection of reference data elements and their values for each product resides in a UPI reference data library. The UPIs are maintained in a reference data library accessible to authorities and market participants that stores the UPI codes and their related UPI reference data. Authorities and market participants may find any UPI code within the reference data library, to discover the UPI reference data elements and their values that pertain to that particular product, or to find UPI codes that relate to specific reference data elements and their values. UPI service provider(s) operate and maintain the reference data library, and assign o UPI codes.
Some examples of reference data stored in the UPI reference data library includes the following:
Asset class
Currency pair
Delivery type
Instrument type
Option style
Option type
Return, pricing method or payout trigger
Underlying asset type
Underlier ID
Underlier ID source
The UPI Technical Guidance was published by CPMI and IOSCO on 28 September 2017 as technical guidance to authorities.
The UPI Technical Guidance covers the:
Characteristics of the UPI code (see section The Unique Product Identifier);
Technical principles applicable to the UPI;
UPI reference data elements for each OTC derivatives asset class.
The ROC, in its capacity of IGB, is now in charge of a number of responsibilities spelled out in the UPI Governance Arrangements (FSB, October 2019) and now included in the ROC Charter (see also Mandate of the ROC), including updates or changes to the UPI Technical Guidance as necessary. Updated versions of the UPI Technical Guidance may be available among the ROC's publications.
The Derivatives Service Bureau (DSB) Ltd, a subsidiary of Association of National Numbering Agencies (ANNA), is a global numbering agency for OTC derivatives serving the needs of market participants through the allocation of International Securities Identification Numbers (ISINs), the Classification of Financial Instruments (CFI) and Financial Instrument Short Name (FISN), all globally recognised and adopted ISO standards for identifying, classifying and describing financial instruments.
In May 2019, the FSB designated the DSB as the service provider for the future UPI system. As the sole issuer of UPI codes, DSB will also perform the function of operator of the UPI reference data library. In the third quarter of 2022, the DSB expects to start issuing UPIs for OTC derivatives to enable global regulatory authorities to aggregate data on OTC derivatives transactions to help assess systemic risk.
The Critical Data Elements other that than UTI and UPI (CDE) include data elements of an OTC derivative transaction reported to TRs and important to aggregation by authorities. Setting a standardized definition, format and allowable values provides better understanding on the contents of the transaction and will provide transparency for all OTC derivative transactions. The CDE include data elements related to:
Dates and timestamps;
Counterparties and beneficiaries;
Clearing, trading, confirmation and settlement;
Regular payments;
Valuation;
Collateral and margins;
Counterparty rating triggers;
CDS Index Attachment & Detachment Point;
Other payments;
Prices and quantities;
Packages and links;
Custom baskets.
The CDE have been included within the ISO 20022 data dictionary and maintained by ISO. An ISO 20022-compliant message for CDE has been published in the ISO 20022 repository.
The Technical Guidance for critical OTC derivatives data elements (other than UTI and UPI) was published by CPMI and IOSCO on 9 April 2018 as technical guidance to authorities. It provides harmonised definitions, formats and allowable for the CDE to be used by the authorities when implementing their OTC transactions reporting requirements. To meet their own reporting requirements, some jurisdiction may also require additional information, which may not be included in the Technical Guidance. Finally, although the mandate for CPMI and IOSCO to harmonise CDEs was for OTC derivatives only, some authorities may wish to implement the Technical Guidance for non-OTC derivative transactions as well.
The ROC, in its capacity of IGB, is now in charge of a number of responsibilities spelled out in the Governance Arrangements for critical OTC derivatives data elements (other than UTI and UPI) (CPMI-IOSCO, October 2019) and now included in the ROC Charter (see also Mandate of the ROC). These include updates or changes to the CDE Technical Guidance as necessary. Updated versions of the CDE Technical Guidance may be available among the ROC's publications.