Timeline to Launch New Service For Fund Information
Mutual Fund Services has published a timeline of events leading up to the launch of its new Mutual Fund Profile Service.
The new service will replace 10-year-old technology with a more modern, user-friendly model that will give fund companies an efficient, streamlined facility to provide a host of information one would find in a fund prospectus. Having this information readily available will allow broker/dealers and other distributors to review the rules governing a fund and help their customers make more informed investment decisions.
July rollout
Working with an Investment Company Institute Profile Steering Committee, NSCC developed the timeline to coincide with its goal to have the service debut in July. Here are the key timeframes.
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March 2 - May 22. NSCC emails to fund companies Excel spreadsheets that contain information in the current database, as well as instructions on completing the spreadsheets with additional required information. Fund companies return their completed spreadsheets to their Mutual Fund relationship manager by May 22.
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March 12 - May 29. NSCC tests the spreadsheets and gives funds reports on whether the files are correct or need to be revised. NSCC will then revalidate the file and email confirmations that the conversion is complete.
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May 29. NSCC converts all the file data to the new hierarchy database (see box), which is now in the Participant Service Environment (PSE) test region. The PSE region will be available on an ongoing basis for both fund companies and firms.
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May 30. File data in the test region are converted to the production region. The old database continues to function through July 16, after which it will be disabled.
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June 4 - July 13. Fund companies have access to the new database, during which time they can review and scrub the data for accuracy. Funds making updates during this period need to complete them on both the old and new databases so that firms can receive consistent and current information. There is no data output to firms from the new database during this period. Funds email their Relationship Managers confirming that the data have been reviewed and updated.
- July 16. Launch. The new database goes live for funds and firms and the old one is disabled.
Data in: One time only
The hierarchical model NSCC chose for Profile’s redesign will simplify considerably the process by which funds enter information into the database.
“We are using a model based on a four-level hierarchy, which means that instead of entering information into the database multiple times, funds will input data once, and then that data will automatically be applied at all the appropriate levels,” explained Rita Gribben, DTCC director, Wealth Management Services.
The model starts with the Management Company level and is followed by Share Class, Fund Portfolio and Security Identifiers (CUSIP numbers provided by Standard & Poor’s) for each portfolio.