Various regulatory bodies and other organizations have turned their attention to the provision and use of benchmarks. MSCI has been actively monitoring these developments and engaging in dialogue with the relevant parties.
EU BENCHMARK REGULATION
We have been actively engaged on the EU Benchmark Regulation (BMR) for some time. In fact, we have started implementation several years ago through our IOSCO compliance efforts as described below. Our latest IOSCO compliance statement and assurance report can also be found below.
We are currently in the process of implementing the BMR, and we intend to be registered when and as required to allow us to continue providing benchmarks in the EU.
Should you have any questions, please contact MSCI Client Service.
ESMA Guidelines on ETFs and Other UCITS Issues
For a copy of the MSCI Equity Index policy document on the ESMA Guidelines on ETFs and Other UCITS Issues, please contact MSCI Client Service.
United States IRS 871(M) Regulations Relating to the Definition of a “Qualified Index”
In response to feedback from numerous market participants, MSCI has decided to provide information regarding select indexes to help facilitate MSCI’s clients’ determination whether an index qualifies as a “Qualified Index” under Section 871(m) of the Internal Revenue Code.
MSCI Equity Index Policy regarding United States Irs 871(M) regulations relating to the definition of a “Qualified Index”
IOSCO Principles for Financial Benchmarks
MSCI has a long history of defining and adopting best practice with respect to its index policies and procedures, and we support the aims of the IOSCO Principles for Financial Benchmarks.
The International Organization of Securities Commissions (IOSCO) is an association of organisations that regulate the world’s securities and futures markets. In order to promote transparency, IOSCO published some principles for financial benchmarks in July 2013, calling upon benchmark administrators to disclose their compliance within 12 months of that date.
MSCI has engaged PricewaterhouseCoopers LLP to undertake an independent reasonable assurance review of MSCI's implementation of the IOSCO Principles for Financial Benchmarks. Reasonable assurance is a higher level of assurance than limited assurance, and copies of the assurance reports can be viewed below:
Assurance Report - MSCI Equity Indexes
Assurance Report - MSCI's IPD Indexes and Benchmarks
As we are currently focused on the implementation of the EU Benchmark Regulation, we intend to continue relying on our compliance statements and assurance reports from 2016.
Data submitters to IPD indexes
We ask data submitters to adhere to our Data Submitter Code of Conduct so that the data submission processes for assets included in the IPD indexes and benchmarks are in line with the IOSCO Principles and best practices.
For further information and if you provide data to us, please read the documents below:
MSCI’s Responses to regulatory consultations
Formal Index Complaints
The IOSCO Principles for Financial Benchmarks recommend that benchmark administrators establish and publish a formal procedure for formal indexes complaints.
Formal index complaints relating to MSCI Equity Indexes must be sent to EquityIndexComplaints@msci.com and MSCI's policy can be found here. For the avoidance of doubt, this process covers formal index complaints only. For general questions about our equity indexes, please contact MSCI Client Service.
Formal index complaints relating to IPD indexes must be sent to email@example.com and IPD's policy can be found here. For the avoidance of doubt, this process covers formal index complaints only. If you have any other questions or comments regarding Real Estate services, please contact the IPD Client Services team via firstname.lastname@example.org.