ICMA proposal for a new post-trade transparency regime for the EU corporate bond market
8 December 2021 ICMA fully supports the establishment of a single consolidated tape for EU bond markets. ICMA views this as being the necessary vehicle for providing comprehensive, meaningful market transparency. In April 2020, ICMA published a report with recommendations for the establishment of an optimal post-trade consolidated tape for EU bond markets. This report addressed a number of fundamental questions relating to the context, relevance, comparability, scope, design, and governance of a potential consolidate tape.
In summer of 2021 as an important follow up to this work, ICMA, through its Transparency Taskforce (Taskforce), began extensive discussions and analysis to determine what should be the appropriate ‘transparency regime’ to support the consolidated tape. That is, what information should be made available on the tape, and when? While in many, if not most cases, full and immediate disclosure of transactions can be considered desirable, there is also a broad recognition that there are instances where it would be beneficial to the overall integrity and efficiency of the market to delay the dissemination of certain details, and possibly of the transaction itself.
This proposal summarises the Taskforce’s findings and sets out ICMA’s bond market transparency regime proposal and position for EU corporate bond markets.