Middle-office work for a Type 9 firm.
Your clients' assets sit at several custodian banks. The SFC expects the eight Core Functions to be covered, and in a small firm the same few people cover most of them.
Where the time goes
What changes
Custodian statements are read as they arrive and tied to the bank's printed total before any figure is used.
Positions, cash and trades are matched to your books each day. Differences go to our operations team with the amount and the side.
Fees are worked out from the 15th and month-end valuations, using the same AUM as the Account Monitor.
The compliance tests run on all trades and holdings, and the results are summarised rule by rule for senior management.
Relationship managers get a morning view of their own clients. Professional investor notices are prepared from the client record each year.
What you receive
Daily list of differences, by account and by custodian
Quarterly fee invoices, with the quarter's holdings attached
Senior Management Summary, by rule
Account Monitor: each account against its limits
Change and approval history for each record
Investment decisions and client relationships stay with your firm, as do the responsibilities of the people you have named for each Core Function. Your principals approve invoices and notices, review the Senior Management Summary and sign off the quarter.