BNP Paribas Securities Services has released a service that will help asset managers to meet the requirements of the US Foreign Accounts Tax Compliance Act (FATCA).
FATCA requires non-US financial institutions to report information about financial accounts that are held by US taxpayers, or held by foreign entities in which US taxpayers hold a substantial ownership interest.
Funds are considered financial institutions and are therefore subject to FATCA law.
As a transfer agent BNP Paribas Securities Services will offer funds the ability to identify investors into those funds, and undertake associated services.
Philippe Ricard, head of asset and fund services at BNP Paribas Securities Services, said: “Although the finer details of what foreign financial institutions will be required to report have not yet been published, we know in broad terms what is required in terms of data and how to meet the associated processing and reporting requirements.”
“Fund evaluation, monitoring and reporting are at the core of our business so we are in an excellent position to help funds and asset managers comply with FATCA. This service is testament to our ongoing commitment to help financial institutions navigate the changing regulatory landscape.”
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