Survey Results - BDAC/BTRAC BCP Steering Committee Transfers Subgroup Survey on ACATS-Fund/SERV Practices During an Unexpected Market Close

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October 14, 2013

TO: BANK, TRUST AND RETIREMENT ADVISORY COMMITTEE No. 36-13
BROKER/DEALER ADVISORY COMMITTEE No. 47-13 RE: SURVEY RESULTS - BDAC/BTRAC BCP STEERING COMMITTEE TRANSFERS SUBGROUP SURVEY ON ACATS-FUND/SERV PRACTICES DURING AN UNEXPECTED MARKET CLOSE

 

The Broker/Dealer Advisory Committee (BDAC) and Bank, Trust & Retirement Advisory Committee (BTRAC) established a joint Business Continuity Planning (BCP) Steering Committee in 2012, in response to the events of Superstorm Sandy. The BCP Steering Committee’s purpose is to improve the resiliency of the mutual fund industry’s response to widespread business and/or market disruption, specifically in the area of intermediary-distributed fund operations.

The BCP Steering Committee formed a working group to examine practices associated with mutual fund transfers in the event of an unexpected market close. The working group is co-chaired by Stuart Bateman, Franklin Templeton, and Roger Alws, Morgan Stanley. As part of this initiative, a survey was conducted to gather information about fund organization practices related to ACATS-Fund/SERV activity during unexpected market close events. Survey results will be considered by the working group when formulating industry practices regarding transfers occurring during an unexpected market close event. 

Twenty-three fund companies and service providers representing BDAC and BTRAC completed the survey. The survey results, including a list of respondents, are attached for your review and include data collected in August 2013.

The information contained in the Survey on Fund and Fund Service Provider ACATS Fund/SERV Practices during an Unexpected Market Close is proprietary and confidential property of the Investment Company Institute (“ICI”). Data collected from each individual firm will remain strictly confidential and only aggregate survey results will be shared.; The survey and its contents may be shared with your firm’s employees, agents and fund directors, so long as the firm, its employees and any such agents or directors do not disclose, publish, or otherwise share the survey with other persons without the prior written authorization of the ICI.

Notwithstanding anything to the contrary, ICI may from time to time share aggregated survey results with third parties as it deems appropriate.  The ICI solicited data from members for informational purposes only. The aggregate survey results will be discussed at future ICI committee meetings. Institute members, intermediaries and service providers should act independently in making any decisions based on the survey results.

We would like to extend our thanks to Stuart Bateman, Roger Alws, and other BDAC and BTRAC members who are participating on the BDAC/BTRAC BCP Steering Committee – Transfers Working Group.  We would also thank the representatives on BDAC and BTRAC that completed the survey. If you have any questions or comments, please contact Jeff Naylor at 202-326-5844 or jeff.naylor@ici.org.

 

Martin A. Burns
Senior Director – Operations and Distribution

Jeff Naylor
Director – Operations and Distribution

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