Final Invitation - 2009 ICI Mutual Fund Transfer Agents Trends & Billing Practices Survey
FINAL NOTICE - ACTION REQUESTED
[23913]
October 28, 2009
TO: PRIMARY CONTACTS - MEMBER COMPLEX No. 13-09ACCOUNTING/TREASURERS MEMBERS No. 46-09
OPERATIONS MEMBERS No. 22-09
SMALL FUNDS MEMBERS No. 60-09
TRANSFER AGENT ADVISORY COMMITTEE No. 80-09
PAST PARTICIPANTS -- ICI/PWC TRANSFER AGENT FEE SURVEY RE: FINAL INVITATION - 2009 ICI MUTUAL FUND TRANSFER AGENTS TRENDS & BILLING PRACTICES SURVEY
To date, the member complexes referenced on the attached list have agreed to participate in the 2009 ICI Mutual Fund Transfer Agents Trends & Billing Practices survey. If your organization is listed, please disregard this memorandum and accept our thanks for your participation in this important industry project.
If your organization has not yet signed up to participate in the 2009 TA survey but would like to do so, please review this memorandum, complete the attached participation form and return it to the ICI by November 13th. We will be selecting the funds for the survey sample in late November, so please make every effort to meet this deadline.
The ICI is inviting your organization to participate in the 2009 Mutual Fund Transfer Agents Trends and Billing Practices Survey. This study, which the Institute will conduct in conjunction with the accounting firm of PricewaterhouseCoopers LLP, is widely regarded by ICI members as providing essential information for reviewing transfer agency arrangements. The study also provides mutual fund directors with an independent means of comparing their funds’ transfer agency fees with other similar funds.
The 2009 final report will present a detailed analysis of transfer agent fee data grouped by fund type (i.e., money market, fixed income, equity), distribution channel, and classification of transfer agent arrangement (i.e., external, hybrid, remote and captive). This year’s study, which will cover 2009 activity, will also provide comparative analyses of current data to data collected in 2005 and 2007.
Participant Obligations
Consistent with previous surveys, the final results will only be provided to fund groups that agree to participate. The obligations of participants are to submit a completed questionnaire for funds selected to be included in the survey sample, and to pay a participant fee in accordance with the following asset based schedule:
Total Assets of Open-end Funds in Complex
As Of 6/30/09
Member Participation Fee
Over $20 billion
$8,000
$10 - $20 billion
$7,000
$5 - $10 billion
$6,000
$2 - $ 5 billion
$5,000
$1 - $ 2 billion
$3,000
$.25- $ 1 billion
$1,500
Under $.25 billion
$750
Not all participants will be required to provide transfer agent fee data because the survey will include a sample of funds representative of the industry. However, only fund groups that agree in advance to provide data if requested and pay the participation fee will receive the results of the survey for a period of 18 months from the date of publication. The ICI reserves the right to use aggregated survey data for regulatory, legislative or other public policy purposes to benefit ICI members.
Participants wishing to receive tailored peer group analyses of survey data may do so pursuant to a separate agreement with PricewaterhouseCoopers LLP.
Data Collection
Participants selected for the survey will be provided with a web-based questionnaire that solicits data at the fund complex level as well as the fund/class level. Conference calls will be scheduled when the questionnaire is issued to help prepare participants for the survey completion process, to walk through any new or revised sections of the questionnaire and to answer any questions about the web survey.
As with other ICI surveys, the confidentiality of data submitted by individual fund groups will be strictly maintained. Conversely, participants are expected to keep the survey results confidential, as they are intended for use by participants only.
Timetable
We will select the funds for the survey sample in November 2009 and will give participants access to the 2009 questionnaire in January 2010. The deadline for completion of the web survey will be in March 2010. The ICI will distribute several high-level report exhibits based on preliminary survey results in June 2010, which will include basic per-account data by fund type, transfer agent arrangement, and distribution channel. We will deliver the final report by the end of September 2010.
Action Requested
To participate in the 2009 TA study, please return the attached form to the ICI as soon as possible, but no later than November 13th. In December the ICI will provide a listing of the funds from your complex selected for the survey sample. Participation fee invoices will be mailed in January.
Please contact Diane Butler at 202/326-5850 or butler@ici.org if you have any questions regarding the 2009 Mutual Fund Transfer Agents Trends and Billing Practices survey. Thank you in advance for your prompt response. We look forward to working with you on this important project.
Donald J. Boteler
Vice President - Operations