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Feasibility study on approaches to aggregate OTC derivatives data
The Financial Stability Board published a feasibility study of the various options for a mechanism to produce and share globally-aggregated OTC derivatives data, taking into account legal technical issues and the aggregated trade repository data that authorities need to fulfill their mandates. The report compares three basic options: 1) a physically centralized aggregation mechanism; 2) a logically centralized aggregation mechanism; and 3) the collection of raw data from individual databases by individual authorities that that then aggregate data within their own systems. The report finds that aggregation Options 1 and 2 are highly preferable to Option 3.