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Dear CEO | Release Date: 5th September 2022

To read a shorter summary of this Dear CEO letter, click here.

To access the original FCA document, click here.

Long Summary

This letter represents the inaugural communication from the Financial Conduct Authority (FCA) specifically targeting Trade Repositories (TRs) and Securitisation Repositories (SRs). These entities are critical to the FCA’s strategy for overseeing the financial markets, particularly in the realms of derivatives and securitisations. The letter outlines the regulatory environment under which these repositories operate, identifies key risks associated with their activities, and details the expectations for compliance and operational integrity.

Background and Role of Repositories

Trade Repositories (TRs) were developed in response to the 2008 financial crisis with the primary goal of increasing transparency in the derivatives markets. Their duties include the collection, maintenance, and reporting of data concerning over-the-counter (OTC) and exchange-traded derivatives to regulatory bodies.

Securitisation Repositories (SRs), introduced post-crisis, play a similar role in the securitisation market, gathering and maintaining data on securitisations that require an approved prospectus under financial regulations. They serve to provide clarity and data accessibility to investors, aiding them in making informed decisions.

Regulatory Supervision Framework

The supervision of these repositories is structured under several legislative frameworks, which have been adapted from EU regulations to fit the UK’s regulatory environment post-Brexit. These include:

For TRs:

For SRs:

Each framework provides specific guidelines and standards that repositories must adhere to, ensuring that they operate within the legal requirements set forth by the UK government and the FCA.

Identification of Key Risks

The FCA’s letter specifies several risks inherent in the operation of TRs and SRs, along with expectations for how these risks should be managed:

Trade Repositories (TRs):

Securitisation Repositories (SRs):

Supervisory Priorities and Actions

The FCA emphasises several supervisory priorities:

Compliance Expectations and Monitoring

Repositories are expected to:

Key Takeaways and Actionable Steps

For CEOs and senior management of TRs and SRs, the letter highlights the importance of:


The FCA’s letter serves as both a directive and a reminder of the stringent requirements and high standards expected of TRs and SRs. Adhering to these guidelines is essential not only for regulatory compliance but also for contributing to the overall stability and transparency of the UK’s financial markets. The letter underscores the need for ongoing vigilance, adaptation, and proactive engagement with regulatory bodies.

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