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MUTUAL FUND DESK (MFD)

Mutual Fund Trading Desk

  • Integrates internal accounting systems through consolidated trading portal
  • Electronically opens fund accounts
  • Orders can be rolled up to omnibus, plan level, or fully disclosed
  • Supports transaction timing rules used across 600+ fund companies and 30,000+ funds

Mutual Fund Reconciliation Desk

  • Mutual fund assets balanced daily on an exception basis
  • Out of balance cause can be directed to the offending transaction(s)
  • Tracks out of balance conditions by age, fund family, reconciler, and out of balance threshold

Mutual Fund Revenue Desk

  • Shareholder service revenue invoicing, collecting, posting and reconciliation by account rules
  • Track revenue due to outside broker dealers by account and reconcile against monies paid
  • Calculates customized fees by account

Mutual Fund Income Desk

  • Rules based income map process
  • Forecasts income a custodian should expect to receive across entire book of mutual funds
  • Calculates, allocates and posts income to customer accounts correctly

MUTUAL FUND RECONCILIATION DESK

The foundation of MFD, Mutual Fund Reconciliation Desk is designed to keep mutual fund assets balanced daily resulting in exception-based processing. It typically works in a more efficient manner from the traditional accounting platforms by normalizing trading in an unregulated environment. Mutual Fund Reconciliation Desk will ensure confidence when month-end, quarter-end and year-end processes and reporting are especially critical.

MUTUAL FUND TRADING DESK

Mutual Fund Trading Desk controls the complete lifecycle of each transaction from delivery through settlement. It integrates all internal accounting systems through a single trading portal. Mutual Fund Trading Desk electronically opens fund accounts in the required configuration. It allows transactions at the fully disclosed or retirement plan levels, as well as rolls up transactions to the omnibus or super omnibus level across all internal accounting systems. Mutual Fund Trading Desk has a robust alerting system that allows for swift notification in the event of a trade reject or other issue, resulting in reduced cost and risk.

MUTUAL FUND INCOME DESK

Mutual Fund Income Desk replaces the existing income map process for mutual fund positions and other non-listed investments used on the existing accounting systems.

Mutual Fund Income Desk is significantly more sophisticated than the income map processes in traditional accounting systems that operate in a one-size-fits-all environment. Mutual Fund Income Desk provides forecasting of anticipated income across the entire system(s). It supports dozens of transaction timing rule sets for all fund companies and funds, which is critical for the timely posting of income, avoiding risk and manual intervention.

MUTUAL FUND REVENUE DESK

Mutual Fund Revenue Desk enables institutions to avoid risk of non-compliance of industry regulations. As various regulatory bodies legislate to ensure full transparency, the vast majority are not prepared to comply. Ensuring the proper disclosure and allocation of fees from a mutual fund company which are derived by a shareholder’s assets, either retirement or non-retirement, is the function of Mutual Fund Revenue Desk.

When collecting mutual fund fees directly from the fund companies, Mutual Fund Revenue Desk provides the tools to invoice, track and distribute to all accounts across any platform with 100% accuracy. This is crucial as new regulations require that level of accuracy.

If you don’t collect these fees directly from the mutual fund company by outsourcing to a sub custodian, it is still the responsibility of the service provider to ensure that what they received is correct and distributed properly. Most firms simply assume the fees provided to them from their sub-custodian are correct, and then allocate to the best of their ability back to the shareholders. The disclosure to those shareholders may provide a range of fees that may be collected. Although this practice has been acceptable in the past, this may not be the case under the new rules.

Please contact us today to discuss how VMS can help your business. We can be reached by email at info@vmsholdings.com or by phone at 1.800.867.4357.

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