Newsletter AGILE Reporter Issue 10 | Q2 | 2022
Free 30-day Trial of AGILE Reporter SaaS
We are proud to offer a free, 30-day trial of our AGILE Reporter service!
You will be given your own isolated instance of AGILE Reporter to play with. All functionality to try with no restrictions. Returns from jurisdictions in the US, UK, Hong Kong, Singapore and Australia.
We hope this will be particularly enticing for existing customers using REG-Reporter and the legacy Compliance Reporter.
AGILE Reporter in the UK
OSCA to BEEDS
We are pleased to announce many of our customers have already successfully submitted Bank of England statistical return to BEEDS in the new XBRL format during ‘phase 1’. Remaining customers in ‘phase 2’ ought to take advantage of the BEEDS test window open during June.
The transition to XBRL for BEEDS is the largest change to Bank of England statistical reporting for years. To support its users and the wider community with this upcoming change, VERMEG is pleased to offer a 3-month free trial of its XBRL Checker software to further enhance testing capabilities.
VERMEG’s XBRL Checker is a vendor agnostic service allowing firms to upload XBRL output produced for the purposes of COREP, FINREP, PRA and in this case Bank of England reporting and render this data in the original format of the respective template – allowing both validation of the XBRL structure and scrutiny of the data contained in the file. Any relevant XBRL files regardless of their means of creation can be validated using this service.
North America’s AGILE Reporter – SaaS Service Go Live!
VERMEG welcomes another SaaS customer for regulatory reporting in North America as it successfully implemented a regulatory reporting solution for an institution headquartered in California.
The solution provides a “full allocation” regulatory reporting through an end-to-end process that begins with data files from the customer through cloud native storage. It then allows rigorous reconciliations against GL; runs AGILE RR Calcs for the calculation of reporting rules; validates by performing regulator-published edit checks; and finally creates a submission file.
The client successfully filed FR Y-9C, FR Y-9LP and FFIEC 041 from the service and are additionally licensed for the BC, BL2, BQ1, BQ2, FR Y-11, FR Y-11S, FR Y-6, FR Y-8 reports.
All of this is achieved using only a web browser to a service fully operated and managed by VERMEG.
AGILE Reporter in the APAC
TBGS updates from MAS
MAS has recently published updated version (v1.0) of TOP BORROWER GROUPS SURVEY (TBGS) formats and schema definitions, for industry implementation end of April 2022. MAS has lengthened the implementation period of Version 1.0 to account for the increased scope and granularity of the TBGS.
Please refer below to the latest TBGS implementation process under the revised timeline
⁄ XML Transmission testing and issue rectification:
Dedicated testing facilities on Data Collection Gateway will be provided and the dedicated testing period, which lasts from 15 October 2022 to 15 December 2022, will be set aside for FIs to test their XML submissions of Version 1.0. There will not be any penalty if the data submitted for the purposes of testing is inaccurate during this period. Following the dedicated testing period, MAS will work with FIs to resolve all issues raised by end-June 2023.
⁄ Go-live of the TBGS:
MAS targets to go live with the TBGS from end-June 2023, with the first submission based on end-June 2023 positions. If system or industry wide issues are uncovered during the implementation process, MAS will make alternative plans and update FIs on any changes to the timeline. FIs should continue submitting the current Top 100 Non-Bank Borrower Groups Survey, Credit Risk Top Exposures template (if applicable) and Credit Migration Returns (if applicable) until the TBGS goes live.
Ref: These details were collected from Monetary Authority of Singapore (MAS)’s Circular BD Circular No: BD 05/2022
Updated Related Entities framework from APRA
APRA has made several adjustments to the related entity reporting framework, based on prudential considerations. This new framework has become effective from Q1 2022 with first submissions happening in Q2 2022. VERMEG has integrated all these regulatory updates into our product offering.
The impacted returns include
⁄ ARS 222.0: Exposures to related entities
⁄ ARS 222.1: Exposures to related entities – foreign ADI
⁄ ARS 222.2: Exposures to related entities – Step-in risk
Key aspects of updates include:
⁄ Related entity exposure limits: no changes have been made to the proposed related entity exposure limits. The limits align with APRA’s large exposure limits, which are consistent with the Basel Committee on Banking Supervision’s Standards: Supervisory framework for measuring and controlling large exposures (April 2014).
APRA does not expect the revised limits to materially constrain existing levels of intra-group exposures for ADIs but will ensure these exposures do not become excessive in the future.
⁄ Extended Licensed Entities (ELEs): no changes have been made to the proposal to remove the ability for overseas subsidiaries to be consolidated within the standalone ADI. The revisions will address APRA’s concerns around the potential complexity of group structures with ELEs, and the need for more transparency to support effective supervision. For some entities, the ELE revisions will have a substantial impact, with a need to restructure or reconsider the relative value of certain group operations. ADIs are encouraged to discuss transition needs with their APRA supervisor.
⁄ Step-in risk: changes have been made to the way that step-in risk is addressed in the related entity framework. Step-in risk describes the possibility that an ADI may step in to support an unrelated entity due to reasons such as reputation or branding, beyond their legal obligation to do so. The changes require ADIs to appropriately address this step-in risk by having a risk appetite and strategy for managing step-in risk entities, identifying and assessing the risk arising from step-in risk entities regularly, and reporting on these entities. In response to submissions, APRA has removed step-in risk entities from the definition of related entities.
Ref: These details were collected from consultations & response papers published by APRA.
AGILE Reporter 22.2 Upgrade
The continuous improvement of the AGILE solution suite continues!
Main changes in release 22.2:
⁄ AGILE Analytics is the module of the AGILE Reporter suite for trend and variance analysis. It can show movements of the underlying ‘allocations’ of a return cell between reporting periods in terms of new/changed/removed data. This capability has been extended to regulator jurisdictions supported by AGILE FCR Calcs, including APRA and the UK’s IFR
⁄ AGILE FCR Calcs – VERMEG’s reimagined calculation engine for granular data set reporting now has extended capabilities for uploading data set adjustments. Users can easily export failed data (validation failures), correct relevant data rows, reimport the failed data rows (now corrected) – and re-run validation rules to ensure all data is now compliant. In addition to correcting existing data rows, users also have a facility to add or remove rows with the adjustment upload.
⁄ Dedicated API log – all invocations of AGILE Reporter’s comprehensive OpenAPI are now logged. This log file then contains an indelible record of all API interactions. It’s ideally suited to post hoc analysis and sending to a Security Information and Event Management (SIEM) system.
⁄ AGILE Reporter login screen now displays version of the system and, if configured, the site name for the target system. This can be used to visually distinguish a test environment from production, for example.