Evaluation

Manage a formal evaluation process for your investment research by tracking and rating interactions, monitoring budgets and distributing feedback to your providers.

Evolving market practices and global regulations, including MiFID II, have increased scrutiny over how asset managers pay for research. Compliance requirements for the new regulations relating to research payment have led to the unbundling or separation of trade execution and investment research commissions. Given the shift in payment models, investment professionals need to evaluate the quality of the investment research their counterparties deliver and determine the appropriate compensation for those services.

S&P Global provides asset management companies, including hedge funds, with a sophisticated online system to manage a formalized and fully-informed research evaluation process. The platform allows buy-side firms to demonstrate a transparent process linking the quality and quantity of goods and services supplied by providers and the expected benefit to investors. 

In addition, you can easily track the evaluation cycle, maximize evaluator responsiveness, analyze results, review attended meetings during the evaluation period and provide feedback to research providers. Multiple options for formalizing and recording the evaluation process help improve workflows.

The system can also be utilized to conduct a qualitative assessment of the trading operations provided by the execution counterparties, producing a “360 degree” evaluation of counterparties who provide both trade execution and investment research services.

The Evaluation platform is integrated with S&P Global's Commission Manager and Research Payment Manager platforms to enable a more efficient research payments process. Users can also retrieve evaluation results in the Commission Manager platform, which provides virtual CCA/CSA aggregation and management to make payments for eligible services with CCA/CSA credits.