Greater Flexibility in Acquiring Research Encourages CSAs

https://tabbforum.com/opinions/sec-extends-no-action-relief-on-mifid-ii-greater-flexibility-in-acquiring-research-encourages-csas/

Christopher Tiscornia – “As we move forward, U.S. asset managers need to implement best practices to promote greater transparency and support the spirit of MiFID II and its unbundling requirements. These practices include:

  • Having a thorough, defensible process around research valuation and consumption.
  • Unbundling the trade execution decision from the research decision via the use of CSAs.
  • Providing transparent reporting of research funding, consumption, and value to asset owners and regulators.
  • Ensuring that the interests of managers and asset owners are aligned. Managers need to articulate how their research spending patterns, approaches to investing, and enhanced reporting processes are consistent with asset owners’ expectations.”
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Author: Chandler

https://www.linkedin.com/in/chandlerparis/