Date

19 Oct 2020

Attendees

Agenda

1) Use Case reminder

2) Where we are on our road map.

3) Open Action Items

4) JIRA Issues Review - https://jira.edmcouncil.org/projects/SEC/issues/SEC-7?filter=allopenissues

5) Todays content discussion.

SMIF OWL-UML

SKOS

RDF/S

6) For next week.

Proceedings:

Today we started by merging the outstanding pull request on corporate actions, which need another pass based on additional codes we downloaded from the ISO 15022 site. Next steps are to incorporate remaining codes and for Pete and John to work on a couple of usage scenarios and competency questions we can use to determine what else we need to add, aside from basic definitions of the corporate actions themselves.

The main issue is how a corporate action impacts a security and any index that depends on it, including pricing.

For our work on preferred and common shares, we need to complete the exhaustive set of classes to allow for CFI code alignment. Another issue is that we need to address inclusion of adjusted price and unadjusted price (which are typically historical). Adjusted prices might be tracked historically for some window of time, and then a formula is applied to the most recent one ... see, for example, https://www.investopedia.com/terms/a/adjusted_closing_price.asp. And, see https://www.investopedia.com/ask/answers/06/adjustedclosingprice.asp.

In the pricing ontology - need to simply add adjusted price, which would then be used in structured prices that go back to some baseline date that the "user" wants to make a comparison with. It's possible that you would have to track back to when the stock was originally issued, including tracking corporate actions and adjustments over that entire period of time.

We could associate the impact of a given corporate action on the adjusted price, including the impact on the current stock price as well as on the set of historical adjusted stock prices. The formula would only be related to the impact of the corporate action on the price, not a calculated price for all possible corporate actions on a given security going back to issuance.

Before we tackle adjusted price, we agreed to look at improving the efficiency of representing a security price more generally, for which there is an open issue, and then after that is done, address adjusted price.

Decisions:

Action items

Browser not supported