Technical Notice

BTDS Modification to Include Inter-Dealer/Customer Trade and Side Identifier

Pursuant to FINRA Rule Filing SR-FINRA-2007-026 which was approved by the SEC on July 7, 2008, FINRA is adopting a policy to expand disseminated Trade Reporting and Compliance Engine ("TRACE") data to show, for each disseminated transaction, that the transaction is an inter-dealer transaction ("Dealer Transaction") or a transaction with a customer ("Customer") ("Customer Transaction") and the member referenced is a buyer (or acts as agent on the buy side) ("Buyer") or is a seller (or acts as agent on the sell side) ("Seller"). Effective date of these changes is November 3, 2008.

Impact to BTDS Data Vendors

BTDS Trade Report, Trade Cancel and Trade Correction messages will be replaced with new message types and formats that contain the new Reporting Party Side field.

 

  • The Reporting Party Side field will be a one-character field using the values "B," "S" and "D":

    • B = A customer transaction where the dealer bought securities from the customer.
    • S = A customer transaction where the dealer sold securities to the customer.
    • D = An inter-dealer transaction (always from the sell side).

  • Trade Report message (Category T - Type A) will be replaced with a new format and will be defined as Category T - Type D.

  • Trade Cancel message (Category T - Type B) will be replaced with a new format and will be defined as Category T - Type E.

  • Trade Correction message (Category T - Type C) will be replaced with a new format and will be defined as Category T - Type F.

The Reporting Party Side field will also be added to the FINRA-required displayed fields made available via externally redistributed BTDS data.

Impact to TRACE Reporting Participants

This modification will not affect the trade reporting process. Trade report, cancel and correction input messages will not be modified for this implementation. Please note MPIDs will not be included in the dissemination of the Reporting Party Side.

The TRACE Web Time and Sales function will be modified to include the Reporting Party Side indicator on Trade searches.

Technical Documentation

The BTDS Data Feed Interface Specifications and the TRACE User Guide have been revised to reflect the system changes supporting the Reporting Party Side implementation.

Testing

User Acceptance Testing will be scheduled for this release. Nightly BTDS test data will also be made available prior to November 3. FINRA will issue a Technical Notice email with further details.

Questions

Questions concerning these system modifications and related testing should be directed to Orlando Cortes at (212) 858-5143 or FINRA Product Management at (866) 899-2107.