Timeliness Calculation - SEC

What do the timeliness indicators mean?

•  - an accepted message that was reported on time
•  - any public message where there is more than 15 minutes left to report or any other type of message where there is more than 1 hour left to report
•  - any public message with less than 15 minutes to report or any other message where there is less than 1 hour left to report
•  means the submission is late
•  means calculating timeliness does not apply for the message
•  means missing and/or invalid values were submitted for the fields needed to calculate timeliness

How is timeliness calculated? 

KOR TRs

When a message is submitted to the repository, KOR calculates the time it was required to be submitted based on information provided on the message and the applicable regulations. 

A message needs to be accepted AND validated to be on time. Submitting a message with rejections before the required submission timestamp does not count - the clean resubmission of that message will be considered on time only if it passes all validations before the required submission timestamp.

KOR RS 

When KOR Reporting Services (KOR RS) submits a message to a Trade Repository (TR), timeliness is determined based on the output submitted timestamp recorded when the message is sent to the TR. This timestamp validates that the message was submitted within the required reporting timeframe. The TR acceptance timestamp is not used for timeliness calculations, as processing times at the TR can vary and may take several minutes or longer. This ensures accurate measurement of compliance with reporting deadlines, independent of TR processing delays. The TR must ack the message for KOR to calculate an on time report.

Business days

What is a business day?

Business hours

If 24 hours would fall on a day that is not a business day, by the same time on the next day that is a business day.

SEC No Action complexity

SEC FAQ

Q1: Rule 901(j) of Regulation SBSR provides that the timeframe for reporting the information required under Rules 901(c) and 901(d) of Regulation SBSR is 24 hours after the time of execution of the security-based swap. However, the Commission has issued a No-Action Statement with respect to Regulation SBSR providing generally that, if registered SDRs and their participants follow the CFTC’s swap reporting and public dissemination protocols and apply those protocols to security-based swap reporting, there will not be a basis for a Commission enforcement action with respect to certain provisions of Regulation SBSR that differ from the CFTC’s reporting and public dissemination rules (Parts 45 and 43, respectively).[1] May a person who has a duty to report a transaction avail itself of both the 24-hour reporting deadline provided in Rule 901(j) as well as the No-Action Statement?

A1: The Commission’s No-Action Statement regarding Regulation SBSR was premised on the idea that most security-based swap market participants are also participants in the swap markets, and have invested in systems and developed policies and procedures to satisfy the swap reporting requirements imposed by CFTC rules. Furthermore, the Commission stated that it was “mindful of the time and costs that may be incurred by swap data repositories and swap market participants to implement aspects of the SBS reporting rules that have no analog in, or are not wholly consistent with, the swap reporting rules,”[2] particularly in view of the fact that the CFTC had proposed significant amendments to those rules and significant time and costs would be incurred to comply with those amendments.[3] Under the CFTC rules, a swap transaction must be reported as soon as practicable after the time of execution.[4] Under the CFTC’s approach, market participants are not permitted to “hold” a swap transaction or run a “timer” to delay reporting it. The staff understands, however, that certain market participants are considering changing their systems to hold a transaction report of a security-based swap for up to 24 hours after execution before reporting it to a registered SDR, availing themselves of the No-Action Statement and reporting the security-based swap using the protocols developed for swap reporting but under the timeframe set forth in Regulation SBSR instead of the timeframe prescribed by CFTC rules and referenced in the No-Action Statement. In the staff’s view, such practice would be inconsistent with the No-Action Statement. Accordingly, if the staff discovers after 8 November 2021 that market participants are taking this approach, the staff will consider recommending remedial action to the Commission, up to and including that the Commission revise or even withdraw the No-Action Statement. [Modified: Oct. 21, 2021]

SEC

SEC Rule reference

SEC Transaction Message: Creation Data timeliness

This logic applies to messages where:

• Message type = Transaction
• Action type = NEWT
• Event type ≠ PTNG

Required submission timestamp = 24 business hours following the execution timestamp

SEC Transaction Message: Continuation Data timeliness

This logic applies to messages where:

• Message type = Transaction
• Action type ≠ NEWT
• Action type ≠ CORR

Required submission timestamp = 24 business hours following the event timestamp

SEC Public Message: Creation Data timeliness

This logic applies to messages where:

• Message type = Public
• Action type = NEWT
• Event type ≠ PTNG

Required submission timestamp = 24 business hours following the execution timestamp

As the regulation requires public data to be reported ASATP but does not clearly define the "no later than" timeline, for trades that qualify for the block/large notional delay, KOR considers the message later if it is reported after the prescribed delay time.

SEC Public Message: Continuation Data timeliness

This logic applies to messages where:

• Message type = Public
• Action type ≠ NEWT
• Action type ≠ CORR

Required submission timestamp = 24 business hours following the event timestamp

This logic applies to messages where: