WMBA Limited ("WMBA") have established a suite of services supporting clients with the requirements and opportunities arising from the benchmark regulations. WMBA have managed critical and non-critical benchmarks ensuring compliance with IOSCO principles since inception , approved and attested by Promontory Financial Group. WMBA have tested experience and resources across each of these areas as a registered Benchmark Administrator managed by personnel with Approved Person status.
WMBA are perfectly positioned as an approved benchmark administrator to use our experience to develop and run your index or benchmark products. Acting as your outsourced benchmark administrator, WMBA can provide full index/benchmark administration including, but not limited to; collection of input data, governance, monitoring, oversight and calculation, returning to you an approved benchmark product whilst allowing you to concentrate on your core business.
Customers who only require assistance with specific elements of the administration process which they are unable or unwilling to carry out in house, WMBA can tailor its governance framework to carry out specific administrative functions aimed at assisting customers to meet regulatory requirements whilst retaining control, ownership and intellectual property of its indices or benchmarks.
Administration functions that can be carried out by WMBA, either individually or as full end-to-end administration, include:-
- Data Collection & Aggregation: collection and standardisation of ‘Input Data’ into a centralised repository using various collection methods such as SFTP, standalone applications or trading platforms.
- Data Monitoring: applying the appropriate checks and controls over the input data to ensure the validity of contributions/submissions.
- Calculation Agent: applying a benchmark methodology to the input data to generate the required index or benchmarks.
- Oversight Function: providing the appropriate hosted forum with necessary personnel. Responsibilities including items such as reviewing index/benchmark definition and methodologies and ensuring the indices or benchmarks remain fit for purpose.
- Governance: providing the overall governance framework wrapper to challenge individual aspects of the administration and ensure compliance with appropriate regulation whilst managing conflicts of interest where they exist.
Finally, the benchmark is returned to you to enjoy the benefits of an endorsed and approved benchmark product which supports your core business without the requirement to take on the risks and processes.
Distribution and Licensing Services
Once the determination of the benchmark has been carried out, WMBA through its experience of administering indices and benchmarks, including critical benchmarks, can provide distribution and licensing services to disseminate those products on behalf of their members and customers.
- WMBA have experience in designing and implementing licensing models for critical and non-critical benchmarks on behalf of customers.
- Through WMBA’s long experience in developing, administering and distributing benchmark we can help with innovative product development.
- WMBA have, through in-house development and key partnerships, established and growing routes to market for the technical and commercial distribution of benchmark data.
- Understanding the unique challenges in distributing benchmark indices means that we can ensure your indices are managed correctly throughout the distribution process.
WMBA can offer services designed to support and assist you with the identification, development and ongoing administration required to meet your EU Benchmark Regulation (BMR) requirements.
- WMBA can, as an approved administrator under the EU BMR, assist with identifying benchmarks already in operation or where the use of existing instruments means they are likely to require additional governance.
- WMBA can discuss ways of structuring your governance framework to meet your BMR requirements.
- WMBA can assist with both new and established benchmarks, assisting you in establishing your policies and procedures including conflicts of interest, whistleblowing, complaints and benchmark cessation and in some cases provide template documentation that would be required to meet the requirements of the regulation or market standards.
- WMBA have experience in designing and implementing licensing models for critical and non-critical benchmarks and can assist with the product development for your own benchmark data whilst complying with relevant regulatory requirements such as FRAND.