Donnelley Financial Solutions Inc (NYSE:DFIN) revealed that it struck a deal with ICE data services which is a division of Intercontinental Exchange Inc (NYSE:ICE) for a comprehensive solution for the Securities Exchange Commission (SEC).
The deal between Donnelley Financial and ICE Data Services is aimed at providing a comprehensive reporting solution that will allow fund firms to be in good books with the reporting modernization rule of the SEC. The rule is expected to take effect on June 1 2018 after which exchange traded funds (ETFs) and mutual funds will be required to file a new monthly N-PORT form. This will allow the SEC to have more details about fund holdings.
“We are pleased to work with ICE Data Services to create a turn-key solution for SEC Modernization. This rule will transform the reporting of portfolio holdings, requiring more frequent and substantive data,” stated Eric Johnson, Donnelley’s president of Global Investments Markets.
The agreement is key towards ensuring more compliance
The deal between the two firms will allow Donnelley to offer its expertise in regulatory filings towards the objective while ICE will offer its analytics and financial markets. The offerings from the two firms will aid companies towards compliance with the monthly N-PORT filing. Donnelley created a standard integration with the offerings from ICE Data Services through its ArcFiling platform. The combination of resources eases the burden that fund companies have as far as data sourcing and calculation is concerned.
The joint efforts between the two firms also offers an effective and well-structured tool for fund companies to present their monthly filing with the SEC. Johnson also stated that joining ICE’s comprehensive data solutions with his company’s expertise in SEC filing would provide a well-structured regulatory solution that will make it easier for N-PORT filing. Fund companies will thus benefit a lot from the new service that will result from the deal between Donnelley Financial and ICE Data Services. It also allows them to be well-prepared by the time the SEC rule goes into effect.
Donnelley Financial stock closed the latest trading session on Tuesday at $22.79 after a 2.86% decline from the value of the stock at the previous close.
