Second GIPS Forum to be held at SUPRA Conference

Teknometry director Anthony Howland will be a facilitator at the GIPS Forum, an industry body that is meeting at the Summit for Performance Risk & Attribution (SUPRA) later this month.

At the 2016 summit, this industry body is for those practitioners who deal with GIPS compliance within their organisation. Similar to the closed-door focus groups, the agenda will be fully attendee-led, bringing you and your counterparts’ top GIPS issues and challenges to the forefront of discussion.

Being part of the GIPS Forum gives you the opportunity to be represented as part of an industry-wide community. As part of this collective, no longer will you be alone when trying to gain clarity on guidance from the CFA Institute, or asking specific questions of your verifier – join together with your industry peers and be represented as one.

This is a closed session for those attendees who deal with GIPS within their organisations. The agenda will be devised pre-event and will include the top issues and challenges that have been submitted by participants.

Agenda points will be discussed amongst participants and this will be facilitated by industry specialists, including Anthony Howland of Teknometry.

Throughout the forum the group will decide on areas where CFA Institute clarification is needed/grievances are felt amongst the participants – post-event, the GIPS Forum will submit this to the CFA on behalf of its members. In the spirit of open and honest discussion, there will be no media in the room to ensure candid conversations.

The SUPRA Conference is being held on the 23rd and 24th November 2016 at the Grange Tower Bridge Hotel, London. Further details can be found at www.supraconference.com

Exposure Draft of the Guidance Statement on Broadly Distributed Pooled Funds Released

After several years in the making, and an unprecedented amount of global industry feedback, CFA Institute have finally released the exposure draft of the Guidance Statement on broadly distributed pooled funds for public comment.

The working party and support team who have managed to agree on this Guidance Statement must be the largest group involved in any Guidance Statement to date and they must be congratulated on producing a paper which they all consider to be a viable set of requirements and recommendations into what is already a quagmire of local and global regulation.

The “broadly distributed pooled funds” umbrella includes a number of fund types which come in various guises; mutual funds, unit trusts, OEICs, SICAVs and it appears that a significant proportion of these will become subject to this guidance.

As such, it is vital that firms review the document in order to ensure that, when the final version is published and becomes effective (expected 1 Jan 2017), firms will know what they have to do and are prepared to do it.

The public comment period is open until 29th April 2016 and we would strongly urge anyone involved in pooled funds to read the document and also send comments to CFA Institute. Even if your comments are only to agree with the document, CFA urge you to respond.

Read the Exposure Draft in full here

Anthony Howland gives his thoughts on the 19th Annual Global Investment Performance Standards (GIPS) Conference

The 19th Annual Global Investment Performance Standards (GIPS) Conference was held in sunny San Diego last month, a refreshing change from its usual venue of Boston (where it returns next year).

Clearly it was the agenda, rather than the location, that was the appeal this year and provided the best ever attendance at the event with around 400 delegates. Whilst the vast majority of these were American, there is an ever increasing global presence and it was good to see a strong contingent of fellow Brits.

The opening address was given by Paul Smith who has been CEO of CFA Institute since the beginning of 2015. He is the first CEO to attend the GIPS conference and, clearly, is a strong advocate of GIPS; promising to allocate additional resources to what he described as the most successful endeavour of CFA Institute.

Not much has changed over the last year with respect to GIPS, but the one item that is noteworthy is the new requirement for firms to notify CFA of their compliance. This has been a discussion point for several years and, finally, came into force for 2015. A few statistics were provided and more will hopefully follow. Of the 1,572 firms currently claiming compliance, the vast majority (around 1,300) are US registered with the UK claiming second spot. Also noteworthy is the fact that 85% of these 1,572 firms are verified, proving that verification is very much norm.

With respect to the future of GIPS, a number of initiatives are underway but there is no plan for a new version of GIPS (as was the case for 2005 and 2010). There are a number of guidance statements on the horizon, but with the current process for these it is difficult for CFA to provide a definitive timetable. However, the first three should be within the next twelve months.

The Pooled Fund Advertising Guidelines have had a long and rough ride, predominantly due to the diversity of existing regulations around the globe covering these investments. However, the group have made great progress and a document should be issued before the end of the year.

The portability guidance statement should be available by Q1 2016 to assist the multitude of firms having undergone M&A activity and a revised guidance statement on supplemental information should follow that and, hopefully, will appear during the course of 2016.

Another project that is underway covers overlay strategies, where the definition of assets under management has always proved contentious and another group is being brought together to cover guidance on benchmarks.

A word of warning, though. These guidance statements were discussed by panellists at the conference and there have been a number of articles and blogs following the conference which have attempted to provide insight. Some of the articles and interpretations I have found to be quite misleading. The fact is that until the guidance statements are issued, nothing has changed, so please do not change your policies and procedures on what is essentially hearsay.

The conference covered a number of other interesting topics such as fees, active share and client reporting. Helpdesk sessions rounded off each day providing the audience with the opportunity to get an immediate answer to some tricky questions. It’s not always easy to be put on the spot and, with the questions being written rather than verbal (sometimes by what may have been an illiterate spider), the helpdesk team did as good a job as was humanly possible in providing insight.

Overall an informative and enjoyable event, and so we hope to see you in Boston next ‘fall’.

Anthony joined Teknometry in September 2014 to spearhead the development and launch of our new GIPS Composite Administration Management solution, TekGAM, which was announced in April this year.

If you would like further information on TekGAM click here or please contact us on 0113 347 1320 or email info@teknometry.com

Performance vendor Teknometry launches specialist GIPS system

Teknometry, the on-demand performance analysis software provider for investment managers, today announces the launch of TekGAM, a multi-currency composite solution that simplifies the challenges of GIPS compliance.

GIPS (Global Investment Performance Standards) are universal, voluntary standards used by investment managers for quantifying and presenting investment performance. A type of ‘investment passport’ that involves a monthly reporting cycle, GIPS creates a level playing field for all firms, promotes comparability and gives current and potential clients more confidence in the integrity of the performance presentations.

TekGAM has been designed as a standalone GIPS solution with the facility to import calculated performance data. It can, however, also be integrated with Teknometry’s TekPAR system to provide a complete solution for the performance function. A cloud-based system, TekGAM is inexpensive, easy to use and clearly shows all of an investment manager’s GIPS information, data omissions and task priorities.

“Our aim is to make the entire GIPS process as painless as possible. We will transfer the data from your existing performance system into Teknometry to streamline your implementation and even help with your GIPS questions.”

Mick Brant, Managing Director, Teknometry

The launch of TekGAM follows the arrival in 2014 of Anthony Howland, the co-founder of GIPS software specialist Performa Consultants. Howland is now a shareholder and director at Teknometry and has been key to the development of the new functionality.

“GIPS compliance is usually a bolt-on to a standard performance measurement platform. This means that the user interface is not set up for the GIPS practitioner, so it takes longer to find and interact with the relevant composites data. A standalone system will make life much easier for a GIPS specialist. The commercial model of ‘unlimited users, unlimited locations’ should also bring some much needed disruption to the sector.”

Steve Young, CEO of Citisoft PLC, the global investment management consulting firm

Award winning performance vendor Teknometry enlists Howland

Teknometry, the on-demand performance analysis software provider for investment managers, announces today that it has signed up buy-side software entrepreneur Anthony Howland as director.

Anthony Howland has held senior positions in numerous software firms, including Milestone Group and BI-SAM Technologies S.A. He co-founded GIPS (Global Investment Performance Standards) compliance vendor Performa Consultants in 1999 and successfully sold the company to StatPro Group in 2008.”

“Anthony has been working with us since the start of the year and has now joined Teknometry as a shareholder and director. Anthony has been instrumental in some major product developments that will be released in the autumn. We are delighted to have such a respected industry expert on board.”

Mick Brant, Managing Director, Teknometry

Howland’s arrival follows a successful twelve months for Teknometry, receiving a Special Commendation at the Funds Europe Awards in November 2013 in the ‘Middle Office’ category and winning the Best Cloud Migration Project category at the UK Cloud Awards 2014 for its deployment at Royal London Asset Management.

“The asset management community needs more small, nimble vendors who can carve out a niche and rapidly respond to client needs. Technology firms who provide investment managers with the ability to adapt their business models to maximise immediate business opportunities. Anthony Howland and Mick Brant are both seasoned entrepreneurs with a track record of delivery. They understand the kind of innovation that asset managers are crying out for. Teknometry is creating a very interesting proposition and I will watch their development with great interest.”

Steve Young, CEO of Citisoft PLC, the global investment management consulting firm