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[19293]
October 25, 2005
TO: INTERNATIONAL INVESTING SUBCOMMITTEE No. 12-05
INTERNATIONAL MEMBERS No. 31-05
INTERNATIONAL OPERATIONS ADVISORY COMMITTEE No. 27-05
RE: SIGNIFICANT OUTCOMES FROM 19TH ANNUAL MEETING OF THE IIFA
Last week, the ICI hosted the 19th annual meeting of fund associations from around the
world. 34 fund associations, represented by 75 delegates, attended the meeting this year.
There were a number of important outcomes from the meeting. First, the group
(referred to as the IIFA) unanimously adopted a statement that included four principles:
• Investment funds should be operated at all times in the interest of their investors;
• Investors in investment funds should be provided with the information needed
for informed investment decisions;
• The process by which investment funds are sold by intermediaries should be
transparent and have as its goal the provision of suitable advice; and
• Investment funds should be able to compete in the marketplace on a level
playing field with other savings and investment products.
The IIFA also adopted a statement relating to the impact on international account
standards on investment funds. The statement stressed the need for convergence of accounting
standards in a way that will reflect the unique characteristics of investment funds and will
result in more meaningful information for investors.
The IIFA formed a new working group to interact with the International Organization of
Securities Commissions (IOSCO), particularly at the Standing Committee 5 (SC5) level. SC5 is
the investment management committee of IOSCO. It’s chair, Hubert Reynier of the Autorité des
marchés financiers (AMF) in France, made a presentation to the IIFA during the meeting. The
Institute will serve as the first Chair of the newly formed IIFA working group.
2
The full text of the statement of principles, the statement on international accounting
standards, and the final communiqué from the meeting are attached. In addition, Institute
President Paul Schott Stevens’ opening remarks are available on the ICI’s public web site at
http://www.ici.org/statements/remarks/05_iifa_stevens_spch.html#TopOfPage.
Robert C. Grohowski
Senior Counsel - International Affairs
Attachment (in .pdf format)
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attachments for memo 19293.