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Dear Madam, Dear Sir 

This third issue of our openfunds newsletter focuses on two important themes: implementation of openfunds fields relating to MiFID II and PRIIP KIDs. As always, you may find all information on openfunds.org.
MiFID II fields in openfunds

The implementation of the MiFID II (Directive 2014/65/EU) regulation will require upgrading of database applications which will be dependent on the availability of new MiFID II data fields. The openfunds association was asked by many industry participants to develop these fields. We are proud to show our members our solution that is based on the actual European MiFID Template (EMT) of the European Working Group (EWG). Please note that the EMT is subject to change over the coming weeks. Should this occur, we will adjust the openfunds beta fields list to reflect the changes accordingly and inform you.

MiFID II covers the two main categories: ‘Target Market’ and ‘Cost and Charges’. These broad categories are divided up into several more detailed sub-categories. The new MiFID II fields openfunds will soon introduce consist of these categories:
  • Target Market – Client type
  • Target Market – Knowledge and experience
  • Target Market – Ability to bear losses
  • Target Market – Return profile
  • Target Market – Risk tolerance
  • Target Market – Time horizon
  • Target Market – Distribution strategy
  • Cost and charges – Ex-ante
  • Cost and charges – Ex-post
A detailed list of openfunds fields (beta) covering the above mentioned topics is available in the fields section of the openfunds website in both PDF and Excel format.
 
MiFID II fields in openfunds
The new Target Market regulation means product manufacturers must identify at “a sufficiently granular level” the potential target market for each financial instrument, and specify the type(s) of client for whose needs, characteristics and objectives the financial instrument is compatible. This information must be provided to distributors together with the target market’s risk profile. The graphic above illustrates the concept of “Target Market”:

In the fields section of the openfunds website, all members can download a beta list of openfunds fields including Target Market fields which includes their translation into the equivalent fields of the latest European MiFID Template (EMT).
PRIIPs fields
openfunds provides two main categories of PRIIPs fields:
  1. PRIIPs fields that are needed to produce the PRIIPs KID as a document in PDF format.
  2. PRIIPs fields that are needed for insurance companies in order to produce a separate PRIIPs KID for multi option products (MOP).
The industry has now agreed on the European PRIIPs template as it was established by the European Working Group. The openfunds standard has been adapted according to this EPT.
In the fields section of the openfunds website, all members can download a beta list of openfunds PRIIPs fields and their translation into the equivalent fields of the latest European PRIIPs Template (EPT).


First services based on openfunds now available to the industry
As more and more service providers adopt the openfunds standard, new openfunds-based services are starting to appear on the market. We support these efforts and are available to advise solutions providers about the available services. Contact us at businessoffice@openfunds.org
openfunds ACTIVE MEMBERS
 
Credit Suisse                                               fundinfo                                              Julius Bär
UBS                                                             acolin                                                  AssetLogic
OldMutual                                                    SIX
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Best regards,
Your openfunds board
openfunds.org
Staffelstrasse 12
CH-8045 Zürich
Switzerland

Tel.: +41 44 286 80 20
Email: businessoffice@openfunds.org
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