XBRL (eXtensible Business Reporting Language) is a specific form of XML language created with the financial and business markets in mind.
In order to create an XBRL file, V.G. Reed & Sons will utilize software called EDGAR suite, which is comprised of EDGAR wiz and EDGARXBRL.
Client Word/Excel files, using this software, will be converted to XBRL by separately inserting tags (coding that defines specific data) into the Word/Excel files to create the XBRL.
Detailed steps are as followed:
a) Tagged information will go into a “taxonomy,” or a collection of tags in one location. Once the initial taxonomy is created, it can be used repeatedly for the same client.
b) The taxonomy must be “client specific,” so that it would only need to be created once for each client. Tagging would be similar in all XBRL files, but each client has its own differences that would need to be incorporated into its own unique taxonomy.
For mutual funds, the final “phase in” is on or before June 15, 2011. At that point, there is no need for detailed tagging for all financials, but only block tagging of notes and schedule sections will be necessary. However, starting January 1, 2011 all mutual funds will need to provide their Risk/Return Summary information into XBRL.
General XBRL taxonomies that are acceptable to the SEC filing requirements are frequently updated. Our software will let us know when the new updates are available so that they can be automatically imported.
Step by step processes are as followed:
1) We first fill in certain prerequisites regarding the specific client, such as CIK information, Company Name, Company URL, etc. Once these fields are filled in, the software now knows what specific filing for what specific client this XBRL will pertain to.
2) Now, we begin the tagging of elements needed to create the XBRL file. We open the financials that are supplied in each doc or excel file. They will display one at a time. We highlight the entire table, then, we copy it and paste it onto the clipboard, and then press the Map tag in the software. Once we do that the table is shown again with additional red markings below each line. This shows us where tagging needs to be done.
3) Once we start tagging each element that is needed they turn from red to green so we know what has been done and what is still to do.
4) When we click on an element that needs to be mapped, the software calls up a list of appropriate tags. It also alert us to the tag that would best fit the specific entry. If we do not see anything in there that corresponds to what the text in the actual table denotes, we are able to create our own tag which, with assistance from the software, will be compliant with SEC requirements.
5) When all the tagging is finished, a report is created listing specifics in the filing.
6) We then validate the job and when all the results are good the XBRL is fully valid and will be accepted by the SEC. Any errors would display in red and we could click on them and be taken to each error immediately and fix as needed.
7) Finally, we will create a proof that would display the pages that were coded. It would show them in their finished look and not the coding behind the scenes. We would provide this proof in addition to the standard HTML proof, and the XBRL coded file, so they can be placed on the client’s website per SEC regulations.