Email Contact Phone Company Visit Website

Bedford, MA Office

32 Crosby Drive
Bedford
MA
US

London, UK Office

Fitzroy House, 13-17 Epworth Street
London
GB

Australia, Melbourne Office

1155 Malvern Road
Malvern
Melbourne
AU

France, Paris Office

9 rue de Téhéran
Paris
FR

Ireland, Dublin Office

6 Georges Dock, 4th floor IFSC
Dublin
IE

Luxembourg, Lux Office

5th floor 28 boulevard Royal
Luxembourg
LU

Switzerland, Geneva Office

25, rue Kléberg
Geneva
CH

New York, NY Office

100 William Street, 17th Floor
New York
NY
US

White Plains, NY Office

100 Hillside Avenue
White Plains
NY
US

Santa Monica, CA Office

2901 28th Street, Suite 300
Santa Monica
CA
US

Hayward, CA Office

3955 Point Eden Way
Hayward
CA
US

Singapore Office

1 Raffles Place #21-02 One Raffles Place
Singapore
SG

Hong Kong, Central Office

2001-2005, 20/F The Center 99 Queen's Road Central
Hong Kong
HK

Channel Islands, Jersey Office

8 Hill Street St Helier
Jersey
GB

Germany, Frankfurt Office

Sandweg 94
Frankfurt am Main
DE

Spain, Madrid Office

Francisco Silvela 42 1a planta
Madrid
ES

Switzerland, Zurich Office

Loewenstrasse 2
Zurich
CH

Australia, Sydney Office

Suite 405/368 Sussex Street
Sydney
AU

Japan, Tokyo Office

Kyobashi No. 8 Nagaoka Bldg. 1F 2-20-9 Hatchobori Chuo-ku
Tokyo
JP

Location Office

International House 1 St. Katharine's Way
London
GB

Italy, Rome Office

Via Cristoforo Colombo, 149
Rome
IT

Chicago, IL Office

600 West Fulton, 7th Floor
Chicago
IL
US

New York, NY Office

100 Church Street, 11th Floor
New York
NY
US

UAE, Dubai Office

805, City Tower 2 Sh. Zayed Road
Dubai
AE

Lombard, IL Office

955 Parkview Boulevard
Lombard
IL
US

Australia, Melbourne Office

Level 36/2 Freshwater Place Southbank Boulevard Southbank
Melbourne
AU

Telephone

02072653703

Contact

tony cossey a cossey
[email protected]
Back to all Intercontinental Exchange announcements

NEW INTERACTIVE DATA STUDY REVEALS THAT APPROXIMATELY 91% OF INTERNATIONAL MUTUAL FUNDS CURRENTLY EMPLOY A SYSTEMATIC FAIR VALUE METHODOLOGY

Nearly Half of These Funds Were Estimated to Employ Fair Valuation Daily

Interactive Data Corporation (NYSE: IDC), a leading provider of financial market data, analytics and related services, today announced that independent research from its Pricing and Reference Data business has identified, through statistical analysis, that international mutual funds have used their fair value procedures more frequently over the past few years. These findings are contained in a study conducted by Robert Haddad, senior manager of evaluated services, Interactive Data Pricing and Reference Data.

In his research, Haddad reviewed public net asset value (NAV) data for 166 U.S. mutual funds investing in international equities, each representing a distinct fund family, from April 2004 to March 2007. Haddad analyzed the use of “trigger levels” with respect to relevant proxies, sometimes referred to as benchmarks, which are often used by funds as an input to help determine when to utilize a fair value methodology.

For example, a fund may decide to use its fair value procedure if a proxy, such as the S&P 500(R) Index, moves by 50 basis points (bps) or more between the time that the London Stock Exchange closes and the time the fund determines its NAV. Haddad estimated that approximately 91% of the fund families in the study currently employ a systematic fair value methodology; with 42% of the funds estimated to use fair valuation every day (i.e. 0 trigger). By contrast, he estimated that approximately 67% of the funds employed fair valuation procedures three years ago, with 20% of the funds estimated to have used such procedures on a daily basis. A complete description of the methodology and the results of the study are available at http://www.interactivedata-prd.com/pdfs/WhitePaper13-20070809.pdf.

“A number of factors in recent years, including heightened regulator scrutiny and the notion that a systematic approach to fair valuation can more effectively reflect current market conditions, have led to a near universal acceptance of employing a fair value methodology to estimate the value of international equity securities at the time of NAV calculation,” said Robert Haddad, senior manager of evaluated services, Interactive Data Pricing and Reference Data. “This is evidenced by the significant interest in Interactive Data Pricing and Reference Data’s Fair Value Information Service, which is currently utilized by more than 150 fund complexes after being introduced just a few years ago.”