Business Rules for Fine-Related Anomalies
Fines under EMIR often stem from data quality, timeliness, and consistency failures. I’ll design complex rules focusing on attributes tied to ESMA’s enforcement priorities (e.g., pairing rates, valuation updates) and historical fine triggers (e.g., missing collateral, late reporting). These rules check interrelated fields for anomalies that could attract regulatory penalties. Assumptions Dataset fields align with EMIR REFIT (e.g., UTI, LEI, TradeDate, ReportingTimestamp, NotionalAmount, ValuationAmount, Cleared, ActionType, etc.). Anomalies flagged here mirror issues fined by NCAs (e.g., FCA’s Infinox case: unreported trades). Rule 1: Late Reporting with High Notional Exposure Rationale : Late reporting (beyond T+1) of high-value trades increases systemic risk, a fine trigger (e.g., ASIC’s AMP fine for unreported collateral). Rule : Flag trades where ReportingTimestamp > TradeDate + 1 day AND NotionalAmount > €10M (threshold for scrutiny). Code : python import dask . da...