January 7, 2025
Fundserv extends TCR solution to ETFs, and other affected assets
At Fundserv, we are committed to enabling members to efficiently respond to industry and regulatory changes that impact their business. We do this by promoting secure, standardized business interactions across the Canadian investment industry.
With the new total cost reporting (TCR) regulation set to take effect on January 1, 2026, Manufacturers of mutual funds, exchange-traded funds (ETF) and other investment products will need to provide the fund expense ratio and daily cost factor of funds to Distributors who are required to report these embedded costs to investors each year.
We are building a centralized database of cost factors for investment funds that trade on the Fundserv network and are extending our solution to exchange-traded assets and other affected assets. To support these new assets, we are introducing a new non-trading class of membership—Associate Members. Manufacturers of investment products not traded on Fundserv, including ETFs, can join our network as Associate Members in order to securely and efficiently transmit TCR data to more than 300 Distributors.
Associate Members benefit from:
- Efficiency: reduced manual processes and delays with our secure, centralized network.
- Accuracy: send TCR data to other organizations with our standardized file transfer option.
- Industry trust: access the platform used by more than 700 organizations across the Canadian investment industry.
By expanding our network to Associate Members, Distributors also benefit from obtaining most TCR factors from a single source.
Associate Members can begin onboarding in 2025 and start transmitting TCR data in January 2026. Manufacturers with affected asset classes can start the Associate Member application process early to ensure new Associate Member codes are set up in time to participate in the member testing period starting May 7, 2025. Visit the Become a Member page on fundserv.com to learn more about how to get started.
For any questions, connect with our Industry Engagement team at RM@fundserv.com.