TISA’s MiFID II project delivers open standards solution
TISA, the investments and savings membership alliance, has achieved ISO accreditation for the open standards underpinning the downstream and upstream reporting of Costs & Charges and Target Market Data in its MiFID II solution.
In developing the downstream (manufacturer to distributor) standards, the Project has liaised with the European Working Group (EWG) to review and enhance the European MiFID Feedback Template (EFT) so that it incorporates country specific differences and requirements, standardises interpretation, and meets any broader industry requirements.
The upstream standard provides a template to enable distributors to report, and product manufacturers to receive, information on target market sales in a standardised format. This enables firms to avoid having to develop their own bespoke systems for reporting and for receiving reports.
The upstream standard is now being taken forward by the EWG as the basis of a European Feedback Template (EFT). The EWG has previously developed the EPT (template for PRIIPs) and EMT (template for MiFID II Target Market and Costs & Charges). TISA are members of the EWG.
A standard for reporting is a huge benefit for distributors and manufacturers, as well as enabling information suppliers to develop standardised tools to serve the market. This will deliver significant efficiencies in building and reporting for firms, helping them drive down the costs of implementing MiFID II.
TISA’s MiFID II Project is being overseen by a Governance Committee representing a cross-section of European asset managers, distributors and information providers. Work has now commenced on the second phase of the Project to establish whether a technology-based solution will make implementation of the reporting standards easier and more efficient for firms. The project will be carrying out a Proof of Concept test to examine the feasibility of an industry service built around a Blockchain model.
David Dalton-Brown, TISA Director General, says: “I am delighted to report that we have achieved the three overriding aims we set for this project. Firstly, to enable the industry to deliver a better service to their clients through the consistency of information being presented in key documents, secondly to drive down the MiFID II implementation costs and operational risks for TISA members and the broader industry and thirdly, to ensure that our solution addresses the needs of firms across Europe.”
“We are now further enhancing this work in the second phase of the Project by looking at how best to harness digital technology to provide industry solutions that benefit the consumer. We are keen to involve additional companies in the project and urge those interested to contact us.”