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MSCI and Confluence Help Investors Streamline SEC N-PORT Regulatory Reporting Requirements

NEW YORK--(BUSINESS WIRE)--

MSCI Inc. (MSCI), a leading provider of analytics, applications and services to institutional investors, has entered into agreement with Confluence Technologies, Inc (“Confluence”), a global leader in investment data management automation for regulatory, financial and investor reporting, to help asset managers streamline compliance with SEC Modernization and other regulatory reporting requirements.

The SEC’s sweeping modernization rules – in particular the introduction of new monthly portfolio reporting requirements (Form N-PORT) – can place an added operational burden on asset managers. Compliance with the rules may require additional market data, analytics and new reporting infrastructure.

Working together, MSCI and Confluence will offer a streamlined solution designed to facilitate compliance with the SEC’s new reporting requirements. MSCI will optimize the delivery of its data and risk and liquidity analytics for easier integration into Confluence’s Unity NXT® Regulatory Reporting solution. These analytics include the calculation of market risk sensitivities at a portfolio and position level, and the classification of funds’ investments into liquidity buckets, as outlined in SEC Rule 22e-4. Mutual clients of MSCI and Confluence will receive easy and efficient access to the data and analytics they can leverage to comply with the SEC’s Form N-PORT requirements.

“We are pleased to work with Confluence in offering asset managers a streamlined and efficient solution to help meet their ever-changing and growing regulatory requirements,” said Giulio Panzano, MSCI’s Global Head of Analytics Product Management. “MSCI began working on modeling liquidity risk in 2010 and launched the LiquidityMetrics methodology in 2013. Our goal is to provide an end-to-end liquidity risk management solution that offers the data, risk modeling framework and enterprise reporting capabilities asset managers can use to fulfill their regulatory requirements.”

“SEC Modernization is a gamechanger for back offices across the asset management industry,” said Todd Moyer, Chief Operating Officer at Confluence. “Obtaining the data they need to comply with new requirements has become a major challenge for fund managers, and while Confluence has become an indispensable solution for our clients, our model depends upon a close working relationship with the best market data providers and risk management specialists, such as MSCI.”

MSCI is ranked as a top 3 risk management technology firm according to the 2018 RiskTech100®, a study of risk and compliance technology companies by Chartis. Since launching LiquidityMetrics, the firm has continued to expand its functionality in step with evolving regulatory mandates. As a result, MSCI has received numerous awards for LiquidityMetrics, most recently earning a Risk.net 2018 Market Technology Award for Market Liquidity Risk Product of the Year.

About MSCI

For more than 40 years, MSCI’s research-based indexes and analytics have helped the world’s leading investors build and manage better portfolios. Clients rely on our offerings for deeper insights into the drivers of performance and risk in their portfolios, broad asset class coverage and innovative research.

Our line of products and services includes indexes, analytical models, data, real estate benchmarks and ESG research.

MSCI serves 99 of the top 100 largest money managers, according to the most recent P&I ranking.

For more information, visit us at www.msci.com.

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