XBRL US commented on a Commodity Futures Trading Commission (CFTC) proposal on Swap Data Recordkeeping and Reporting Requirements. The goal of the proposal is to streamline the requirements for reporting new swaps, define and adopt swap data elements that harmonize with international technical guidance, and reduce reporting burdens for reporting entities.
The XBRL US letter expressed support for the expansion of the use of Legal Entity Identifiers (LEI) as proposed. It also indicated support for the move towards the requirement of data standards by reporting entities, but urged the CFTC to require the use of a single financial data standard. As currently written, the proposal would allow each Swaps Data Repository (SDR) to set its own data standards requirements which could result in four different data standards being adopted by the four U.S. SDRs. This would limit the benefits of standardization. Adopting a single CFTC-approved data standard, as proposed in the XBRL US letter would not be a major change to the proposal, but would result in significantly greater benefits to reporting entities, SDRs, users of swaps data, and the Commission itself.