As data harmonization moves to the forefront, and various international bodies call for global data aggregation, many market participants felt it an optimal time to refine and update ISDA OTC Derivatives Products Taxonomy to version 2.0 (“Taxonomy v2.0”). The original version of the Taxonomy has been in use for cross-jurisdictional reporting for Credit, Rates, Equities, Commodities and FX since 2012. The update to Taxonomy v2.0 was achieved through the collaboration of industry working groups, asset class experts, and steering committees. It incorporates regulator input, suggestions for additions, reclassifications, and granularity from the industry, as well as analysis of historical data to determine where changes were needed to improve consistency.
The industry is committed to implement the updated version if there is regulatory endorsement to use Taxonomy v2.0 for trade reporting. Implementation timelines are still to be determined and are dependent on this regulatory endorsement.
In the interim, a public comment period has been opened to solicit further input or feedback to the attached proposals. Comments and questions can sent to EHsu@isda.org.