The PLSA has issued a list of the top 5 actions that schemes need to take ahead of Mifid.  You can read their article here.  In essence, schemes need to:

  1. Assess the value of investment research.
  2. LGPS schemes need to “Opt Up” from retail to professional status in order to access all products and fund classes.
  3. Obtain a Legal Entity Identifier (LEI).
  4. Get to grips with disclosures: best execution and costs.  Yup.  Good idea.
  5. Think about your IMAs.  And change them when you’re getting a bad deal.

There will be a great deal more information available to schemes when the MiFID reporting cycle begins.  It’s very important that schemes absorb this information, paying particular attention to the quality of the underlying info, and where it comes from.  Schemes should be especially concerned when measurement of cost is coming from a bank or broker, and is not independently sourced by the asset manager.