In CRM 2011 when we create an email template we first have to select an email template type. Basically we are picking an entity. While creating this email template we have a button to Insert/Update a data field. We are restricted to only those data fields which are in this selected entity and its related system entities like account, contact, etc.

On many occasions I need to build an email template on custom entities. When I create an email template, I should be given an option of all the entities (including custom entities) for selection. While adding data fields I should be able to select fields from that custom entity and any of its related custom entities.

So basically I should be able to use the, out of the box, easy to create Email Templates functionality for custom entities.