Broadridge expands European fund regulatory reporting capabilities

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Broadridge expands European fund regulatory reporting capabilities

Broadridge Financial Solutions has expanded its European fund regulatory reporting solution with the integration of transaction cost calculation services from financial products, trading and market-making services provider Virtu Financial.

The Broadridge and Virtu partnership will provide a solution for asset managers to disclose transaction costs as they fulfil the second Markets in Financial Instruments Directive (MiFID II) and Packaged Retail Investment and Insurance-based Products (PRIIPs) fund reporting requirements.

MiFID II and PRIIPs have required assets managers to disclose portfolio transaction costs for their funds since 2018.

Virtu’s portfolio transaction cost calculation capabilities and Broadridge’s existing MiFID and PRIIPs reporting solutions will address a number of the challenges that asset managers face, including collating arrival price data for their funds in an efficient and effective manner.

According to Broadridge, the solution is set to improve the coverage of transaction cost data points by over 50 per cent for clients.

Paul Poletti-Gadd, chief solutions officer at Broadridge Fund Communication Solutions, says: “The enhanced portfolio transaction cost calculation service will be of real benefit for our clients who have been searching for a solution to help them more efficiently calculate and disclose transaction costs.”

“This partnership with Virtu will provide clients with multiple benefits, including a reduction in time and resources for the asset managers internally, improved coverage levels for their funds and more support in meeting their regulatory requirements. For our clients, there is a further advantage in that this enhanced data set can then be utilised across the full range of our fund reporting solutions,” Poletti-Gadd adds.

Kevin O’Connor, global head of analytics at Virtu Financial, comments: “We are one of the early innovators and a current market leader in transaction cost analysis and are able to support Broadridge clients not only with their future portfolio transaction costs but also with historical calculations.”