FCA approves IHS Markit as authorised benchmark administrator
09 July 2018 London
Image: Shutterstock
The Financial Conduct Authority (FCA) has approved IHS Markit as an authorised benchmark administrator under the European Benchmark Regulation (BMR).
The authorisation aims to bring greater transparency and consistency to financial benchmarks.
Additionally, it will allow market participants to continue referencing to the broad range of financial and commodity indices from IHS Markit under BMR.
The FCA’s authorisation also confirms BMR compliance for IHS Markit Index Administration Services clients.
It recognises independent benchmark administration as valid alternative for self-administrators under BMR.
Aram Flores, managing director and global co-head of financial indices at IHS Markit, commented: “Across our indices franchise, we strongly support the objectives of BMR in promoting the integrity and transparency of benchmark indices.”
Flores continued: “Financial institutions rely upon IHS Markit indices as the gold standard for market indicators, and as we continue to expand our leadership in this space, we will continue to deliver innovation and excellence.”
Mark Schaedel, managing director and head of Index Administration Services at IHS Markit, said: “IHS Markit has invested a significant amount of resources in BMR compliance, and when appointed as an independent benchmark administrator, we can provide a compliance alternative to clients, which allows them to retain ownership of their indices, and avoid inherent conflicts of interest.”
“In addition, as an independent administrator, IHS Markit can provide endorsement for non-European indices, which require access to the EU market.”
The authorisation aims to bring greater transparency and consistency to financial benchmarks.
Additionally, it will allow market participants to continue referencing to the broad range of financial and commodity indices from IHS Markit under BMR.
The FCA’s authorisation also confirms BMR compliance for IHS Markit Index Administration Services clients.
It recognises independent benchmark administration as valid alternative for self-administrators under BMR.
Aram Flores, managing director and global co-head of financial indices at IHS Markit, commented: “Across our indices franchise, we strongly support the objectives of BMR in promoting the integrity and transparency of benchmark indices.”
Flores continued: “Financial institutions rely upon IHS Markit indices as the gold standard for market indicators, and as we continue to expand our leadership in this space, we will continue to deliver innovation and excellence.”
Mark Schaedel, managing director and head of Index Administration Services at IHS Markit, said: “IHS Markit has invested a significant amount of resources in BMR compliance, and when appointed as an independent benchmark administrator, we can provide a compliance alternative to clients, which allows them to retain ownership of their indices, and avoid inherent conflicts of interest.”
“In addition, as an independent administrator, IHS Markit can provide endorsement for non-European indices, which require access to the EU market.”
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