Reminder: Effective Date for Required Use of TRACE for Treasuries Modifiers

Beginning Monday, February 5, 2018, FINRA members will be required to report the “B” and “S” modifiers on applicable transactions in U.S. Treasury Securities (Treasuries) reported to TRACE. Starting on that date, transactions that meet the defined criteria for these types of transactions must include these modifiers:

• “B” on a trade report if the transaction being reported is part of a series of transactions where at least one of the transactions involves a futures contract (e.g., a “basis” trade); and
• “S” on a trade report if the transaction being reported is part of a series of transactions and may not be priced based on the current market (e.g., a fixed price transaction in an “on-the-run” security as part of a transaction in an “off-the-run” security).

Participants are encouraged to review the TRACE specifications, which outline the use of these modifiers and direct any technical questions to FINRA Product Management via email or phone (866) 899-2107. All other questions should be directed to TRACE Feedback.