The Investment Company Institute (ICI) released its draft taxonomy for eXtensible Business Reporting Language (XBRL) data tagging by the mutual fund industry. The ICI stated that the development of this data tagging language for the risk/return summary is an important first step for helping capture the power of the Internet to provide more accessible and better information to fund investors. The ICI further stated that its research indicates that recent fund buyers look primarily for information included in the risk/return summary before making a mutual fund purchase. XBRL tagging holds the potential to make risk/return summary data interactive by enabling investors or their advisers to easily search for, retrieve, and compare information on hundreds of mutual funds across multiple fund complexes.
The ICI developed an XBRL taxonomy that can be used to "tag" data in the risk/return summary that is included in the front of every mutual fund prospectus. The risk/return summary includes the information of most importance to investors - the fund's investment objectives, principal investment strategies, principal risks, and historical fund performance, along with the standardized fund fee table.