Borsa Italiana

About

Borsa Italiana is the central marketplace for the listing and trading of financial instruments in the Italian market and EuroCCP is pleased to offer clearing, settlement and risk management services for trades executed on Borsa Italiana.

Borsa Italiana will introduce EuroCCP as an additional CCP for its cash equities and ETF markets from 12 November on a “Preferred CCP” basis, which enables a trading participant to designate EuroCCP as its preferred CCP.  Should both parties to a trade designate EuroCCP as the preferred CCP, the trade will be cleared by EuroCCP – otherwise, the trade will be cleared by the incumbent CCP.  The Preferred CCP model does not require the incumbent CCP to interoperate with EuroCCP.

The Borsa Italiana markets are listed below:

  • MTA – Mercato Telematico Azionario (MIC Code MTAA)
    Shares, Depositary Receipts and subscription / pre-emptive rights
  • BIt Eq MTF – BIt Global Equity Market (BIt GEM) (MIC Code MTAH)
    Shares and Depositary Receipts
  • ETF+  – (MIC code ETFP)
    ETFs

EuroCCP maximises the operational and commercial benefits for trading and clearing participants as all trades cleared by EuroCCP are fully netted into one net settlement per ISIN per day. EuroCCP’s features includes:-

  • Preferred CCP clearing model
  • Cross platform netting will deliver substantial settlement savings
  • Direct Participant in Monte Titoli
  • Trades will be incorporated in EuroCCP’s existing reporting
  • Existing margin methodology may reduce margin requirements significantly

EuroCCP’s Relationship Management team can provide an assessment of the savings resulting from the consolidation of Borsa Italiana activity with EuroCCP, and can be contacted at rm@euroccp.com

Key dates

The following graph outlines the proposed timelines for the clearing of Borsa Italiana, although these may change and the go live date is subject to regulatory approval.

Next steps

Testing

As from Monday 8 October 2018, EuroCCP’s client test environment will be available for the testing of trades executed in Borsa Italiana’s test environment.

  • Clearing participants wishing to test should contact Borsa Italiana’s membership team and EuroCCP’s Client Services team to discuss their testing requirements and ensure that the test systems are configured accordingly.
  • Clearing participants should provide EuroCCP with a completed “EuroCCP testing form”.
  • Once all test details have been received, EuroCCP will liaise with Borsa Italiana to ensure Borsa Italiana and EuroCCP’s test environments are configured accordingly.
  • A list of ISIN codes will be agreed with each clearing participant for testing purposes to ensure a smooth and successful test.
  • EuroCCP‘s test environment is available on business days on a free of charge basis between 09:00-17:00 CET, with reporting available thereafter.
Application

To clear trades executed on Borsa Italiana with EuroCCP, a clearing participant should:-

  • Firms wishing to adopt the “User Choice” Model should contact Borsa Italiana’s membership team and make the necessary changes in the Borsa Italiana Member Portal.
  • Advise EuroCCP’s Relationship Management team of its  implementation plan and intended go-live date, so that the necessary arrangements can be made.
  • Complete the Borsa Italiana Statement of Authority and EuroCCP Netting Form and return to clientservices@euroccp.com.

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Borsa Italiana SoA

Version October 2018

Once the above documents and supporting information have been received, EuroCCP will liaise with Borsa Italiana to ensure that Borsa Italiana and EuroCCP’s production systems are configured accordingly.

Borsa Italiana reporting

The CCP Identifier in Borsa Italiana trade confirmations is available as follows:

MIT202 BIT – FIX Trading Gateway (FIX 5.0)

If a trade is cleared, when the Party Role (452)= Counterparty Firm (17), the Party ID will be populated with the CCP value of the CCP that will clear the trade:

Execution reportTag 448 PartyID = EMCFNL2AXXX

MIT203 BIT – Native Trading Gateway Specification

If a trade is cleared, the counterparty will be populated with the CCP value of the CCP that will clear the trade:

RFQ Execution Report
Execution report
Tag 122 Contra Firm = EMCFNL2AXXX
Tag 119 Counterparty = EMCFNL2AXXX

MIT204 BIT – Post Trade Gateway (FIX 5.0) Specification

If a trade is cleared when the Party Role (452)= Contra Firm(17), the Party ID will be populated with the CCP value of the CCP that will clear the trade:

Trade Capture ReportTag 448 PartyID = EMCFNL2AXXX

MIT205 BIT – Drop Copy Gateway (FIX 5.0) Specification

If a trade is cleared, when the Party Role (452) = Counterparty Firm (17), the Party ID will be populated with the CCP value of the CCP that will clear the trade:

Execution reportTag 448 PartyID = EMCFNL2AXXX

Further information can be found on Borsa Italiana’s website.

EuroCCP reporting

Once trades executed on Borsa Italiana are cleared by EuroCCP, EuroCCP’s real time, intraday and end of day files will include Borsa Italiana activity.

Borsa Italiana trades will appear in EuroCCP’s reporting under the relevant Market Identifier Code (TAG 58 in the FIX messages and TAG 8 in the Client Information File (CIF).

During testing, files will be generated and distributed from EuroCCP’s client test environment.

Contacts

Contacts with EuroCCP
DepartmentContact detailsResponsibilities
Relationship Managementrm@euroccp.com
+44 20 7392 7480
EuroCCP services
EuroCCP pricing
Main point of contact
Client Servicesclientservices@euroccp.com
+44 20 7392 7490
Paperwork
Static data
Connectivity
Reporting
Client Testingclienttesting@euroccp.com
+44 20 7392 7490
Testing
Risk Managementriskmanagement@euroccp.com
+31 20 5703 371
Risk related queries
Contact with Borsa Italiana
DepartmentContact detailsResponsibilities
Membership Italy
membership@borsaitaliana.it
+39 02 72426964
Onboarding
Client administration
Client Technology Services Italy

Clients-Services@borsaitaliana.it
+39 0272426512

Service-desk@borsaitaliana.it
Toll Free: 0080026772000

Technical configuration
Testing
First level support

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