Will software vendors be ready for COREP reporting?
February 25, 2014 09:38 by Andrea Whitehouse
The new CRD IV banking directive is about to take effect. But how prepared are the traditional banking software vendors to help their clients issue their first reports?
From April the UK Financial Conduct Authority (FCA), for example, will be collecting the first COREP reports in the new XBRL (eXtensible Business Reporting Language) format against the taxonomy issued by the European Banking Authority.
There are, however, growing concerns around the availability of fully functional, XBRL-enabled software in time to meet the deadlines imposed by the new reporting regime. Several traditional suppliers are likely to fail to meet the due date, especially as changes to the taxonomy may occur even at this late stage, and those with hard-coded solutions may struggle to implement the necessary changes in time.
However, there is an alternative for beleaguered vendors.
CoreFiling is offering a rapid enablement option to help vendors over the first reporting hurdle, followed by further assistance to XBRL-enable their offerings.
To overcome the immediate reporting obstacle, CoreFiling’s Seahorse® provides simple to use, SaaS-based Zero-Tag™ technology for the generation of Excel forms that, when completed, are seamlessly turned into compliant XBRL documents ready for submission.
In a second phase, vendors can then take advantage of CoreFiling’s in-depth XBRL expertise to incorporate fully standards-based components into their offerings and ensure the output of fully valid XBRL documents. True North®, CoreFiling’s flagship XBRL processor and validator, is a key element in this second stage. It’s the component of choice for the FCA’s own EBA reporting requirements and validation of COREP and FINREP filings received from the UK financial market, so vendors can be sure they are validating documents to the same exacting standards as the regulator.
For further details of CoreFiling’s XBRL solutions for software vendors, please call us on +44 1865 203192 or email email@example.com
Explore the GRI Taxonomy with the help of Yeti
November 18, 2013 11:04 by Andrea Whitehouse
The latest addition to CoreFiling’s Yeti® taxonomy exploration environment is the GRI (Global Reporting Initiative™) Taxonomy 2013, launched on 7th November.
Developed in association with Deloitte, the GRI Taxonomy 2013 is designed to allow companies to begin producing sustainability reports in XBRL in accordance with the G4 guidelines. The GRI aims to promote a more sustainable worldwide economy, with particular focus on ethical behaviour, social justice and environmental care.
Although sustainability reporting in XBRL has not yet been mandated, the GRI has launched a Voluntary Filing Programme (see: https://www.globalreporting.org/reporting/reporting-support/xbrl/Pages/Voluntary-Filing-Program.aspx) to encourage organisations to begin creating XBRL disclosures that investors and other stakeholders can then review and compare.
In support of this initiative, Yeti lets users gain an insight into the new taxonomy by presenting the underlying concepts simply and clearly. Even beginners will appreciate the intuitive navigation assistance and powerful search facilities, which make it easy to drill down into the detail and to find particular concepts.
Start exploring the new GRI taxonomy today! There’s easy access at http://bigfoot.corefiling.com/yeti/resources/yeti-gwt/Yeti.jsp
Worry-free taxonomy development
November 11, 2013 12:44 by Andrea Whitehouse
One thing we’re really proud of here at CoreFiling is our ability to deliver the highest quality software. We employ exceedingly bright, highly skilled software engineers, developing code using Agile methodologies.
However, the one thing on which we constantly rely to ensure top quality output is our own continuous integration product, Decimate®. It not only underpins our own development philosophy but is also made available to our customers, and plays an important role in ensuring the success of client taxonomy development projects. In fact, Decimate can support the overall build-test-release cycle of any development project.
The main advantage of using the continuous integration philosophy is that it provides on-going quality assurance and testing throughout the process. Developers do not have to wait until they are finally ready to release to discover build failures. Decimate confers a higher degree of confidence to the development process.
Typical development projects involve several people working on the same files simultaneously. Without a common repository for the seamless merging of changes, chaos is likely to ensue. Dependencies between files need to be handled effectively as there may be unforeseen impacts from one to another. Decimate guards against these potential pitfalls behind the scenes, by packaging and automatically testing the latest version every time a user makes changes to the taxonomy and confirms those changes back into the central repository.
What’s more, if the build encounters problems, Decimate gives developers very useful information to help determine the source of the issue so it can be corrected prior to the next build. It’s colour-coded too, for ease of review.
Get ahead with your taxonomy development project with Decimate! It’s the worry-free option.
Learn more at: http://www.corefiling.com/products/decimate.html
Detailed profit and loss tagging available in Seahorse
October 18, 2013 15:31 by Andrea Whitehouse
October was the start date for HMRC’s acceptance of filings in accordance with the new Detailed Profit and Loss (DPL) taxonomies. The conversion of DPL financial statements to iXBRL won’t be mandatory immediately, as it applies to accounting periods ending only on or after 1st April 2014, so we may not see a deluge of filings for several months.
However, the good news is that Seahorse is there to help whenever you are ready to start filing. The new DPL taxonomies for UK GAAP and IFRS have been incorporated into the latest release of the product, so you can begin submitting DPL statements in iXBRL right now, or at least know that Seahorse will be ready to help once you decide to start DPL filing.
HMRC have also published an informative User Guide on the DPL taxonomies which can be found at: http://www.hmrc.gov.uk/softwaredevelopers/ct/dpl-guide.pdf
Detailed profit and loss tagging – get ready!
September 3, 2013 16:11 by Andrea Whitehouse
HMRC filers should be aware that Corporation Tax reporting is shortly going to change, with the additional tagging of Detailed Profit and Loss (DPL) statements.
As of October 2013, HMRC will accept submissions against the new DPL taxonomy that has recently been released. Mandatory reporting in line with DPL will, however, come into force for accounting periods ending only on or after 1st April 2014. It will be possible to tag the detailed profit and loss in either the computations or the accounts, but not both. If this happens inadvertently, the filing will still be accepted, but HMRC point out that “this may cause the return to come under further scrutiny, especially if there are inconsistencies with duplicate tagging across the accounts and computations”.
As always, CoreFiling are committed to keeping Seahorse users up to date, and we are already preparing to introduce the new DPL taxonomy into Seahorse at the earliest opportunity, so we’ll have it available for use well in advance of the due date.
Watch for more information shortly.
How fair are the new banking regulations coming out of Brussels?
June 14, 2013 14:53 by Andrea Whitehouse
Sharon Bowles, one of the most influential Britons in Brussels, will be talking about this on Monday in London. She will talk in her keynote address at “Preparing for CRD IV Reporting” about the challenges facing the banking community and how CRD IV will impact on it. In the forefront of the drive to improve European banking regulation since the financial crisis, Sharon has devoted herself to building a regulatory system which will provide stability in Europe without putting unfair pressure on the City of London.
The keynote address is one of a series of addresses from speakers across the European regulatory community including the European Central Bank and speakers with long experience at the International Monetary Fund and national regulators.
There are only three days before the conference!
The conference will also be open to registration from 8 a.m. on the day of the event.
Are you ready for the CRDIV mandate?
June 11, 2013 09:33 by Andrea Whitehouse
Important changes in bank reporting under CRD IV, the new Capital Requirements Directive, the European enactment of the Basel III legislation, are due to come into force starting from 1st January 2014.
Time is rapidly running out. Despite this, there is evidence to suggest that few banks are gearing up to ensure that their internal processes are ‘fit for purpose’ for the arrival of the new reporting regime.
One reason is that there is still a great deal of confusion about what the new regulations actually entail. This is particularly true for the XBRL technology and related taxonomies required to turn the new reporting regime into reality. It is expected that those taxonomies will not emerge in their final form until the end of the third quarter of 2013, giving very little time before the first COREP reports need to be submitted on 1st Jan 2014.
The issue is also blurred by the continued political debate in the European Parliament about bankers’ bonuses, making people believe that this is the only issue. Clearly this is not the case.
The CRD IV reporting changes in fact go much deeper.
Under the new CRD IV regulations, all of Europe’s banks will have to file increased amounts of exposure and risk data to their respective regulators. It may seem like an additional burden, but handled properly this new data will not only help the banks to gain a competitive edge, but might also prevent another bank collapse.
The ‘Preparing for CRD IV reporting’ conference on June 17th at the London Hilton on Park Lane provides a timely opportunity for regulators to explain the case for the new regulation and for banks to gain valuable insight into the reporting changes and how they might turn them to their advantage.
The conference focuses squarely on the regulatory aspects of CRD IV/Basel III and the underlying business issues, with passing mention of the technology that will underpin the submission of the enhanced reports.
During the business track, presenters will explore the issue of ROI and how, by implementing the new compliance requirements correctly, banks will have the opportunity to outperform their competitors. At the moment, many banks view the new regime only in terms of additional investment. The ROI session answers these concerns and explains why investment in compliance will be abundantly worthwhile. However, doing it properly is the key, and there are issues that need to be fully thought through, e.g. How can the new reports be pulled together? How are they to be approved and signed off? How can banks ensure that data is consistent across all submissions made to their various regulatory bodies?
Both the business and the technical tracks will be highly interactive, with ample time devoted to Q&A allowing delegates to enter into the discussion. The conference also features three key representatives from the EBA, the body responsible for translating the technical standards from the legislative requirements behind the new reporting regime. There’s a chance to quiz the EBA further about the ITS (Implementing Technical Standards) which is key to the process, yet not expected to be finalised until later this year.
It promises to be an interesting debate.
For more information and registration: http://www.xbrl.org.uk/conference/
XBRL comes of age with Basel III reporting
June 4, 2013 16:02 by Andrea Whitehouse
Europe’s new Basel III capital regulations, newly enacted as CRD IV, will introduce XBRL-based data reporting to new sectors and markets. In what is arguably the biggest upheaval in European banking since the introduction of the Euro, CRD IV will mandate the collection of increasing amounts of banking capital and exposure data throughout the countries of the European Union. For the first time, XBRL will be at the heart of Europe’s financial regulatory systems, joining the tax authorities and business registers who have hitherto been pioneers of XBRL-based business reporting in Europe.
The main players in this drama will be present at a major conference in London on 17 June, “Preparing for CRD IV Reporting”. Chaired by Robert Driver, the British Bankers’ Association’s Policy Expert on COREP and FINREP, the conference will explore the new regulatory environment with speakers from the European Parliament and the European Central Bank, and will discuss the implications of the new regime for both banks and regulators. Presentation topics will include:
- Regulatory objectives in processing XBRL-based big data
- Driving financial outperformance through compliance
- Improving ROI in financial reporting
- The use of XBRL standards in reducing the reporting burden
- Ensuring traceability and consistency in XBRL reporting
- Management challenges around regulatory reporting
So CRD IV has been agreed, what about the ITS?
May 31, 2013 16:16 by Andrea Whitehouse
The last public draft of the EBA’s model for implementing technical standards on supervisory reporting (the ITS) was issued on 15 March 2013. That was followed on 16 April with the approval of the CRD IV by the European Parliament. So the banks are expecting to have their data reporting systems ready by 1 January 2014 – but they can’t put them in place until the ITS has been finalised.
The EBA is expecting to deliver the ITS, to schedule, in good time for the banks to comply. But financial institutions wanting to start planning on the basis of the draft ITS are at risk unless they can be confident about the shape of the final version. Fortunately, help is at hand.
The EBA is supporting a major compliance conference, “Preparing for CRD IV Reporting” in London on 17 June. Andreas Weller, Head of IT at the EBA, and his colleagues Meri Rimmanen and Wolfgang Strohbach, will be present, with presentations covering their expectations for COREP and FINREP. The format of the sessions, with plenty of time for questions from the audience, will be ideal for in depth discussion of the features being planned for the final version. The conference will be a timely opportunity to put your questions to the authors of the ITS.
The EBA’s presentations will be followed by sessions with implementation experts from Deloitte, IBM and other firms covering the strategic issues around investments in compliance under the new regime.
For more details and registration: http://xbrl.org.uk/conference/
So what are the new rules for COREP and FINREP?
May 29, 2013 10:04 by Andrea Whitehouse
From 1 January 2014, banks will need to report thousands of additional risk and capital data points – a huge increase in frequency, volume and complexity when compared to previous reporting requirements.
Clarity on the regulation is vital to ensure the successful implementation of COREP and FINREP reporting under CRD IV. Step in ‘Preparing for CRD IV Reporting’. As the conference title suggests, the event aims to provide extensive support to the financial community pending the implementation of the reporting framework.
In the afternoon of June 17, the conference has scheduled two separate talks on COREP and FINREP to address the key challenges institutions face in adhering to the complex requirements of the new reporting framework. Meri Rimmanen and Wolfgang Strohbach from the European Banking Authority will provide an authoritative business overview of COREP and FINREP reporting.
Full details and registration for the 17 June event can be found at http://conference.eurofiling.info
The EBA recently published several consultations on draft guidelines and technical standards on their website: http://www.eba.europa.eu/Publications/Consultation-Papers/Open-to-responses.aspx