TISA’s MiFID II technical solution gathers pace
TISA’s MiFID II technical solution gathers pace
TISA, the investing and saving membership alliance, is reporting a high-quality response from suppliers to its Request For Information phase towards developing an industry sponsored technical solution for MiFID II reporting.
Part of TISA’s MiFID II Costs & Charges and Target Market reporting project, which is setting standards and developing a governance framework, the technical solution aims to resolve the problem of delivering European MiFID Templates (EMTs) by asset managers to distributors to a set of common standards.
Jeffrey Mushens TISA Technical Policy Director said:
“Currently there are multiple solutions in place that whilst meeting the need of the relevant legislation have none-the-less introduced substantial costs and created significant complexity with resultant risks. Last December we tested a distributed ledger technology solution via a hackathon. This demonstrated the efficacy of publishing the EMT once and then allowing other firms to access the data. This RFI formed the next step in the process to verify the possibilities for a technical solution and its cost effectiveness.
“The RFI responses have highlighted that this approach offers material benefits to the industry both in terms of cost reduction and in enhancing accuracy and compliance. We will therefore progress to the next phase which will be to issue an RFP to short-listed vendors in the autumn and, given the quality of the RFI responses, we are confident that we should be able to deliver a solution for the industry by the summer of 2020.”
TISA’s MiFID II project has already successfully developed open standards for both downstream and upstream MIFIDII reporting, achieved ISO20022 accreditation and delivered an industry standard EFT and guide for Upstream Target market Reporting. TISA’s MiFID II practitioner guides are now being widely adopted and, with the work of the European Working Group (EWG), mean that the data being collected and distributed is in most instances of a standard form, typically via the EWG sponsored EMT. This progress lends itself to the development of an industry-based solution.
TISA believes that there are a number of positive outcomes associated with the development of an industry solution to the challenge of implementing MiFID II including:
- Ensuring future regulatory changes can be implemented once and consistently for the industry
- Significantly reduce the industry’s operational and technical costs in the implementation of MiFID II
- Significantly reduce consultancy and legal fees being incurred in the implementation of MiFID II
- Ensuring the accurate and consistent presentation of investment charges in all transaction, adviser and client reports
- Reduce regulatory risk for all participants in the investment value chain.
TISA’s MiFID II industry project is overseen by a Steering Group of participating member firms, opportunities still exist for asset managers, distributors and service providers to join the group and help in shaping the eventual solution.
Issued on behalf of TISA by Atlas Partners, for further information please contact:
Clara Rees Jones: telephone: 020 7183 7154 or 07523609413, email: firstname.lastname@example.org
Notes for Editors
TISA’s ambition is to improve the financial wellbeing of UK consumers by bringing the financial services savings industry together to promote collective engagement, to deliver solutions and to champion innovation for the benefit of people, our industry and the nation.
We do this by focusing on good consumer outcomes and harnessing the power of our broad industry membership base to deliver practical solutions, new digital infrastructure and by devising innovative, evidence-based strategic proposals for government, policy makers and regulators. This holistic approach to address the major consumer issues uniquely positions TISA to deliver independent insight, promote innovation and facilitate good practice.
TISA’s rapidly growing membership is representative of all sectors of the financial services industry. We have over 200-member firms involved in the supply and distribution of savings, investment products and associated services, including the UK’s major investment managers, retail banks, online platforms, insurance companies, pension providers, distributors, building societies, wealth managers, third party administrators, Fintech businesses, financial consultants, financial advisers, industry infrastructure providers and stockbrokers.
TISA will unveil Vision 2025 – our strategic policy roadmap towards delivering a material impact in enhancing consumers’ financial wellbeing at our Annual Conference in December 2019. Our current strategic policy focus includes making financial guidance more widely available; financial education for young people; retirement savings and addressing consumer engagement, particularly for the vulnerable.
Complementing our development of consumer policy and thought leadership, TISA has become a major industry delivery organisation for consumer focused, digital industry infrastructure initiatives (TeX/STAR, Digital ID, MiFID II and Open Savings & Investment). This reflects TISA’s commitment to open standards and independent governance.
TISA is also recognised for the support it provides to members on a range of operational and technical issues targeted at improving infrastructure and processes, establishing standards of good practice and the interpretation and implementation of new rules and regulations. This work currently includes MiFID II, CASS, SM&CR and addressing cybercrime.