September/October 2014 - Fundsquare and Confluence AIFMD cooperation

Fundsquare and Confluence to cooperate on AIFMD transparency reporting‏

Collaboration will provide simplified AIFMD filing across multiple jurisdictions

On 17 October, Confluence, the US-based data management leader, and Fundsquare announced that they would be cooperating on transparency reporting related to the Alternative Investment Fund Managers Directive (AIFMD).

Fundsquare supports a collaborative, open network of specialist firms that combine expertise and capabilities to achieve optimal solutions for the fund industry. It is in this context that Fundsquare has partnered with Confluence.

Confluence's solution for  transparency reporting aims to ensure completeness, accuracy and control over the AIFMD reporting process -- from the collection of data, the calculation of answers, the approval of the report form contents, to the transmission of the filing. By incorporating Fundsquare into its solution, asset managers need only upload files once for them to be disseminated to multiple national authorities in their formats required to ensure accuracy and timeliness of filings to each regulatory jurisdiction. Fundsquare's clients can access Confluence's application directly through e-file.lu.

The AIFMD affects asset management companies that manage an alternative investment fund domiciled or marketed in the European Economic Area. One of the key features of the Directive is the AIFMD transparency report, which requires fund managers to provide regular, detailed reporting on their investment strategy and activities, assets, transactions, risks, and business relationships. With over 400 data points to be collected from a variety of internal and third-party systems, the AIFMD transparency report is a complex undertaking for even the most seasoned asset managers.

Fundsquare, a natural choice

Commenting on the appointment, Melvin Jayawardana, Confluence European Market Manager, said: "As a leading infrastructure for investment fund distribution services, Fundsquare was a natural choice to collaborate with to provide the industry with an unprecedented AIFMD transparency reporting solution."

"As regulatory reporting pressures continue to increase, we view Fundsquare as a resource we can leverage to develop and bring to the market additional regulatory solutions to both the asset management and third-party administrator market."

Olivier Portenseigne, Chief Commercial Officer at Fundsquare, said: "As a market utility for the fund industry, Fundsquare aims to create more economies of scale for all actors. Working with Confluence, will considerably increase efficiency for our respective clients. We believe a collaborative model with the best providers will make funds servicing easier at a time where coping with regulation is increasingly high up on asset managers' agendas."

Fundsquare News 13 - September/October 2014