PFPC Jumps into 22c-2 Market

May 15, 2006 ( - PFPC has announced the offering of a Rule 22c-2 compliance solution for mutual fund companies.

A PFPC news release said the new offering will provide a Web-based monitoring tool with access to more than 50 million broker/dealer and 43 million retirement subaccounts. The new services include a Web interface, analytics engine, contract management, data warehousing and request monitoring through a secure portal. These capabilities, combined with direct access to data, will establish an economy of scale that helps reduce the expenses associated with obtaining intermediary data, according to the company

Designed for both PFPC clients and as a stand-alone product, it will be available prior to the October 2006 deadline set by the Securities and Exchange Commission (SEC) for compliance with Rule 22c-2.

PFPC’s 22c-2 services are customized to support each fund company’s approach to market timing monitoring which could include a risk-based approach that analyzes omnibus activity or the review of data on a periodic basis. PFPC’s 22c-2 solution will help create efficiencies and cost savings by streamlining the review process through the identification, tracking and storing of exception items, according to the news release.

Key features, the news release said, include:

  • Rule 22c-2 services highlights
  • analytics engine identifies suspect activity in omnibus positions
  • cost-effective access to data
  • real-time queries through Web-based interface
  • data aggregation from multiple sources
  • tracking and disposition of market timer exception transactions
  • market timer audit trail and results storage mechanism
  • data interpretation based on fund specific rules
  • secure transmission and storage of data
  • hosted service model.