Calastone launches global fund distribution solution, Data Services
London-based Calastone, the global funds transaction network, has launched Data Services, a market intelligence solution for fund managers.
Calastone says that MiFID II, the European regulatory framework designed to “improve the transparency and oversight of financial markets”, is moving responsibility to understand the distribution chain from distributors and platform providers to fund managers.
Rob Swan, MD of Data Services, says: “Many fund management firms are not prepared for the scope and volume of work required to simply achieve look-through of their product distribution, a task that involves the consolidation of data across thousands of administrators, distributors and advisors.”
He adds: “We anticipate that aspects of the upcoming MiFID II regulation will require fund managers to add a market overlay to monitor the full distribution chain effectively. The scale of this task should not be underestimated. The recent one-year delay of the regulation must not be seen as an opportunity to defer the project, but rather as time to ensure compliance with their regulatory obligations.”
Data Services works by collating bottom-up transactional data across the global distribution chain to create a look-through at both market and individual firm levels.
Calastone says it has worked closely with the industry to enable clients, for the “first time”, to understand their global distribution down to the end distributor.