SMONIK SOLUTIONS FOR FUND ADMINISTRATORS
Goal:
Smart dashboards that consolidate reporting across clients, a rules-based recon configuration process to allow specific rules and tolerances for each client, and the ability to post entries to your accounting system based on recon exceptions in an easy-to-use data management and reconciliation platform.

Challenge:
Fund Administrators are challenged to process reconciliations for cash, positions, dividends, interest, P&L, GL accounts, etc. for many clients. How do you know if all reconciliations are completed for a given day? How do you know if you have any risk issues with a given client? Did you receive all the required broker/custodian files for a particular day? Is your current reconciliation system constrained? Maybe it doesn’t handle derivatives very well?

Smonik Solutions for Fund Administrators:
These are all challenges Fund Administrators face every day... and Smonik solves these issues!
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Download Broker/Custodian Data Files
Standardize/Normalize Data
Reconcilliation
Management Reporting
  • Set up schedules to automatically retrieve broker/custodian data files from FTP, SFTP, websites, email and network locations.
  • Smonik can automatically decrypt files with provided keys.
  • Intuitive Control Center allows users to easily monitor the status of incoming files. Filter by custodian, file type (e.g. cash or position,) or date range.
  • More powerful and significantly less expensive than Advent Custodial Data (ACD).
  • Users control data management using the intuitive user interface. No development required.
  • Smonik allows users to normalize data to meet any standard format for integration with accounting systems or other reporting databases.
  • Map and transform any Excel, CSV, text delimited (pipe delimited,) fixed position, XML and PDF file formats.
  • Data can be extracted from structured and unstructured PDF documents such as capital statements, capital call notices and distribution notices.
  • Ability to view the life-cycle of data before and after applying filters and translations.
  • Reconcile any two data sets.
  • Many reconciliations (cash transactions, cash balances, positions, tax lots, dividends, interest, P&L, trade activity, commissions, restricted trades) are pre-defined and ready to use, or, users can define Recon and set rules for matching, tolerances, grouping, and numerous other settings.
  • Powerful options for managing Recon breaks including approvals, adding notes, escalation workflow and an intelligent “Suggested Match” process.
  • Users can define the grouping and filtering of data to coincide with internal work assignments (i.e. view recon breaks by brokers/custodians or by asset class or by fund) as well as define the approval workflow.
  • Smart dashboards provide users with snapshots of key performance indicators.
  • Management can review real-time dashboard(s) to quickly see status of recons and aged exceptions.
  • Numerous reports and dashboards are available.
  • Users can configure their own reports with simple configuration steps.
  • Complex reports and dashboards can be customized quickly.








Fund Administrators - FAQ


How do you retrieve broker/custodian data for reconciliation?

Broker/custodian data files can be scheduled to be automatically retrieved. The user can setup a recurring schedule and a few other file parameters, and the file watcher service will check the FTP site, website, or email inbox every 2 minutes for the specified file. Once files are captured, any user-defined filters or translations are applied before the data is automatically loaded to recon.



What if my scheduled file does not come in?

If, for some reason, the scheduled file is not received the user will see an “Error” appear on the Control Center dashboard. Once the reason for the non-delivery is known and resolved, the file can easily be rescheduled simply by selecting “Reschedule”.



Can I configure the workflow to view reconciliations and exceptions by client, fund, broker, or by asset type?

Yes. The Recon Status view and the Break Details view are configurable to view all aspects of a recon (including matched and unmatched items) with filtering and grouping established by the user. Within the Recon Configuration screens, the user can set up which fields are available for filtering and grouping.



Are you able to restrict a user to only view data for a specific client?

Yes. Permissions can be set to allow specific users to only have access to the client's data for whom they are responsible.



Am I able to view data before and after filters and translations are applied?

Yes. From within the Control Center dashboard, users can open data files both before and after any filters and/or translations are applied. Users can see a 360° view of their data.



Most of my reconciliations have zero breaks. Is there a way to hide those so I don’t have to waste time reviewing recons with no exceptions?

On the Recon Status screen (in the top right corner,) there is a checkbox “Hide Zero Breaks:”. When selected, the recons with zero breaks will be hidden from the list of recons below. Alternatively, the user can sort by any column header. By sorting the “Outstanding Breaks” column in descending order, the recons with the most breaks will display at the top of the list.



Is there a way to “lock” the recon once all breaks for a given day have been researched and resolved and/or notated or approved?

By selecting the “Review” or “Sign-Off” button on the far right of the Recon Status screen, not only does it show who (based on Windows ID) Reviewed or Signed-Off, but it also locks the recon and does not allow any additional changes unless the Review or Sign-Off is removed. In addition, a user can right-click on the Review/Sign-Off button and add any notes or attach files to support the recon.



Can data be exported to Excel?

Data can be exported to Excel (with or without header rows) or PDF from either the Recon Status screen or the Break Details screen.



If I know an exception is going to exist for some period of time, how do I handle it in Smonik? I do not want to have to address the same break every day.

For situations where the user knows a break is going to exist for a period of time, the user can “Approve” the break and assign a date the approval will be effective until. For example, a break exists on the cash recon and I know the broker is not going to process their side of the transaction for two weeks. I can approve the break on the Break Details screen and assign the approval until a date two weeks out. Every day until then, the break will appear in an “Approved” status with no need to research it over and over again. If not cleared by the end date of the approval, it will revert to a break status.



Does a user have the ability to manage (e.g. notate or approve) the same exception across numerous clients/funds?

Yes. Due to the various ways users can view data, a user can apply notes, approvals, etc. to any group of recon exceptions. By selecting the “Show All” button on the Recon Status screen, the user can then filter for any group of exceptions and apply any of the break management functions.



Will Smonik Recon match one-to-many and many-to-many transactions?

Reconciliations can be configured to allow for exact matches (one-to-one,) one-to-many matches, many-to-many matches, and/or matches within a specified tolerance. Not only can the user define which of these match types to allow, you can also control the order of how these matches occur.



Can you apply tolerances when matching items?

Smonik has extensive tolerance settings which can be set at the most granular level. For instance, if you are reconciling cash transactions, you could set a tolerance for each currency or a separate tolerance for each currency by broker.



How does Smonik address the issue of security identifiers not matching? What if I have a derivative where my internal identifier is not the same as the broker’s identifier?

There are two methods for resolving this issue. One is to use the cross-reference functionality to associate the internal identifier with the broker’s identifier. Once the position is added to the cross-reference database (which is a simple right-click function,) they will forever be associated. The alternative is to attempt to re-create the internal identifier using the data sent in the broker file. Although this is dependent on the data sent from the broker, this can usually be accomplished through the use of advanced translations.



Does Smonik track Aged Breaks?

Smonik does track the number of days an exception item is aged and displays this on the Break Details screen. We also provide Aged Break dashboards and reports.



Can users configure different views in the Break Details screen?

By selecting the “Arrange Columns” icon on the Break Details screen, users can modify and/or create any view. They can move or add/delete columns to provide the specific view desired. Once a view is named, it can then be saved and made available for anyone to see or only available to the user who created it. A user could create one view for a position recon, another for cash recons, and a specific view for Forward Currency Contracts, for example.



How does Smonik handle “As-of” recons for Hedge funds?

Smonik includes functionality to perform an “As-of” recon. For example, a hedge fund or fund administrator performs cash and position reconciliations daily. Upon reaching month-end, they must continue to perform the daily recons but also set aside the recon for the last day of the month and update it. The recons for the last day are copied to a month-end version, which is then maintained separate from the daily version. Any notes, approvals, etc. from the daily recons are carried forward to the month-end version.



Is Smonik capable of handling large volumes of data (positions and/or transactions)?

Smonik is designed to handle large volumes of data. Our data retrieval, ETL (Extract, Transform, Load) and reconciliation components are capable of processing over 1 million transactions, end-to-end, in minutes.



Can the user customize dashboards or reports to meet their needs?

Users can create their own customized reports and dashboards or if more complex reports/dashboards are required, Smonik can develop them usually in a few days at minimal cost.



If there is a position break which also causes a cash break, can users manage the breaks as one instance since they are due to the same transaction?

Yes. Smonik allows users to address breaks caused by the same security or same event across multiple recons. The user only has to enter details such as notes or approvals once and they will be applied across the various impacted recons.



What if the broker/custodian changes the format of the file they send?

File formatting and mapping changes are easy to accommodate in Smonik. Because all of the ETL components are in the User Interface, users can quickly make any necessary updates to mapping data from broker/custodian files. Smonik staff will also support any changes required.