fundinfo AG, a provider of investment fund documents and data, has launched its MiFID II compliant Target Market data service.
The goal of MiFID II, which comes into effect on 3 January, 2018, is to increase the efficiency and transparency of financial markets in Europe, as well as provide protection for investors. An important part of MiFID II is the delivery of Target Market data to Fund Distributors. This data is intended to give distributors recommendations as to which investors their funds are most suited. Suitability is based on an investor’s financial situation, risk profile, knowledge level, investor type, and compatibility with the product’s risk/reward profile. These attributes are encapsulated in Target Market data.
As many fund providers are not yet ready to provide Target Market data, fundinfo’s service fills this gap based on a proprietary methodology and analysis of thousands of funds carried out by the company’s in-house team of experienced fund researchers. Since the same methodology is used to determine Target Market data for all funds independent of fund provider, fundinfo’s data is characterised by a high degree of consistency, making the data easy to understand and work with. Once Fund House created Target Market data is available, distributors have the choice of receiving data from either or both sources of data for comparison purposes.
Distributors can directly access the data via fundinfo’s Data Feed Portal. The portal provides efficient access to user-selectable fund data from over 800 fund providers. A user-customised feed provides comprehensive openfunds data fields describing all attributes of each fund. This includes Target Market and PRIIPs data for tens of thousands of funds and ETFs hosted on the fundinfo cloud. Data is updated every four hours and can be automatically downloaded on a daily, weekly, monthly or quarterly basis.