MSCI is partnering with Confluence Technologies to help asset managers streamline compliance with SEC Modernisation and other regulatory reporting requirements.
The SEC’s sweeping modernisation rules – in particular the introduction of new monthly portfolio reporting requirements (Form N-PORT) – can place an added operational burden on asset managers. Compliance with the rules may require additional market data, analytics and new reporting infrastructure.
Working together, MSCI and Confluence will offer a streamlined solution designed to facilitate compliance with the SEC’s new reporting requirements. MSCI will optimise the delivery of its data and risk and liquidity analytics for easier integration into Confluence’s Unity NXT Regulatory Reporting solution. These analytics include the calculation of market risk sensitivities at a portfolio and position level, and the classification of funds’ investments into liquidity buckets, as outlined in SEC Rule 22e-4. Mutual clients of MSCI and Confluence will receive easy and efficient access to the data and analytics they can leverage to comply with the SEC’s Form N-PORT requirements.
“We are pleased to work with Confluence in offering asset managers a streamlined and efficient solution to help meet their ever-changing and growing regulatory requirements,” says Giulio Panzano, MSCI’s Global Head of Analytics Product Management. “MSCI began working on modelling liquidity risk in 2010 and launched the LiquidityMetrics methodology in 2013. Our goal is to provide an end-to-end liquidity risk management solution that offers the data, risk modelling framework and enterprise reporting capabilities asset managers can use to fulfil their regulatory requirements.”
“SEC Modernisation is a gamechanger for back offices across the asset management industry,” says Todd Moyer, Chief Operating Officer at Confluence. “Obtaining the data they need to comply with new requirements has become a major challenge for fund managers, and while Confluence has become an indispensable solution for our clients, our model depends upon a close working relationship with the best market data providers and risk management specialists, such as MSCI.”
