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If Trading Parties make a material change to their capabilities, re-assurance may be required.

Market Re-assurance is the process in which Trading Parties who have undergone material changes in capability provide assurance to MOSL that these changes do not impact their ability to uphold their market obligations. The process is similar to that of MEA, but it may not be necessary for applicants to complete all the steps.

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The Market Re-assurance Information Return (MRIR) is the equivalent of the Applicant Information Return (AIR) completed as part of MEA. It asks Trading Parties to set out what the material changes are, how they affect their market obligations, and what further aspects of re-assurance they need to complete. In approving this submission, MOSL accepts the proposed scope of re-assurance. Trading Parties who have completed the enhanced MEA process are expected to completed enhanced re-assurance, except in exceptional circumstances. Trading parties who completed self-certification MEA are able to determine the most appropriate route, depending on the material changes made.

Once applicants have had their MRIR approved, they can submit a Market Re-assurance plan, setting out when they will complete the remaining re-assurance activities as required.

Where Trading Parties require market and interface training, the process will be the same as for MEA. Applicants must complete market training before attending the interface ‘classroom-style’ training. Depending on the number of companies progressing through MEA or re-assurance at any one time, Trading parties completing re-assurance may attend training with MEA applicants.

Market and Interface Training is made up of two stages. The first, Market Training, is designed to provide applicants with an overview of the market, including codes and subsidiary documents, the market framework, market entry assurance, and settlement. The second, Interface training, is ‘classroom-style’ and provides applicants with direct training on how to use the CMOS Portal (or LVI). All applicants must attend both stages of training, but it is particularly beneficiary for applicants who plan to only or mostly use the LVI.

Market Training

Market training is made up of these training slides. Applicants must review the slides before attending Interface Training.

Interface Training

Dates for interface training are confirmed on agreement of an applicant’s MEAP. For the subjects covered in Interface Training, please see the attachments below. MOSL runs two types of Interface training, aimed at both wholesalers and retailers. While a lot of the content is transferable, the sessions are targeted specifically to either wholesalers or retailers to provide the best view of the transactions applicants are likely to use in the market. As such, it is important that applicants who are entering as both a wholesaler and a retailer attend both sets of training.

Interface training will take up to two days, and will be based either in London or Reading, depending on the availability of trainers. MOSL will confirm the location when confirming the dates.

Click to view the Interface training content outline for wholesalers or the Interface training content outline for retailers.

The Self-Certification Declaration as part of the market re-assurance process is similar to that in the MEA process. It requests Trading Parties provide assurance that their material changes do not affect the company’s ability to uphold their market obligations, and that they have capability in place to operate in the market. Trading Parties are required only to provide assurance on the statements affected by the material changes, but can provide assurance on additional statements if they so wish. Trading Parties are also required to provide a third party report along with the self-certification declaration. The third party report should provide assurance on the approach the Trading Party has taken, and on the outcomes of the assurance. The report may also provide assurance on risks identified by the applicant or on the specific assurance statements.

The Business Solution Assessment (BSA), as part of the re-assurance process, is designed for enhanced Trading Parties to provide assurance that the material changes do not impact their ability to meet market obligations. The BSA asks applicants to set out the approach they’ve taken in gaining this assurance, and provide the assurance activities undertaken and key findings for each applicable statement.

Trading Parties are not required to complete re-assurance for every statement in the BSA, but are required to provide assurance on each of the specific statements affected by the material change(s). Trading Parties may need to provide a third party report that provides support of the approach to assurance, and confidence in the outcomes of the assurance, depending on the scope of the changes to be made.

Market re-assurance testing follows the same process as Market Entry Assurance Testing (MEAT). Trading Parties are required to complete IDTT, but are only required to complete MST for those scenarios with transactions that are affected by their material change(s). Trading Parties should submit a Market Re-assurance Test Plan and Market Re-assurance Test Script pro-forma at least 10 business days before the testing start date agreed upon in the Market Re-assurance Plan. Once Trading Parties have completed Market Re-assurance Testing, they should submit a Systems Declaration confirming the systems that were tested will be used in the market.

FAQs

Market re-assurance is the process by which a Trading Party provides assurance to MOSL that any material change(s) it has made to business capability does not affect its ability to uphold its market obligations. The market re-assurance process is similar to the MEA process,except that Trading Parties only need to complete the stages affected by the material change(s). For example, if a Trading Party is not changing the way it interfaces with the CMOS or how it sends and receives transactions, it will likely not need to undergo re-assurance testing.

If you are making a material change(s) to your business capability, which affects the way in which you uphold your obligations, you should consider whether you need to undergo Market Re-assurance. The decision as to whether it's needed, and which stages are required, is decided by Trading Parties rather than MOSL.

Material changes are any changes made by a Trading Party which affect the way they uphold their market obligations. The below table provides guidance on what events may trigger Market Re-assurance, and the subsequent steps in the process.

 

The Market Re-assurance process is similar to that of MEA, in that it provides assurance on the business capability to be used in the market. However, when completing re-assurance Trading Parties do not necessarily need to complete all stages like they would in MEA. There is also no Trading Application to complete and the Market Re-assurance Information Return replaces the Applicant Information Return.

Market Re-assurance will involve completion of the Market Re-assurance Information Return, which sets out how the material change(s) made affect the business capability and the Market Re-assurance Plan, which sets out the timeframe for the rest of the re-assurance process. Depending on the nature of the material change(s), and the MEA route the Trading Party underwent, market re-assurance can also involve a Self-certification declaration, Business Solution Assessment (BSA), and/or Market Re-assurance Testing.

Re-assurance testing includes Interface and Data Transaction Testing (IDTT) and Market Scenario Testing (MST). All Trading Parties undergoing Re-assurance Testing need to complete IDTT. However, Trading Parties will only need to complete the scenarios within MST which are affected by the material change(s) for which they are undergoing Market Re-assurance.

Trading Parties completing enhanced Market Re-assurance will likely be required to complete a Business Solution Assessment (BSA). You do not need to complete all the assurance statements, but should complete the approach and risk consideration sections and provide a third party report. You will only need to complete the assurance statements which are affected by the material change(s) for which you are undergoing re-assurance. All other statements can be market as ‘N/A’.

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