BBH launches new risk management tool
20 March 2018 New York
Image: Shutterstock
Brown Brothers Harriman (BBH) has launched BBH InfoNAVSM, an administrator oversight and risk management tool for asset managers.
The platform has been designed for the manager's middle office and treasury teams.
InfoNAV allows asset managers to monitor net asset value (NAV) creation performed by their third party fund administrators.
The new tool also assists asset managers to compare secondary NAVs to the administrator's NAV, highlighting specific variations that may require review or risk mitigation.
According to BHH, asset managers increasingly require daily administrator oversight as they face the challenge of managing complex data sets amid more stringent regulations.
In response to this, BHH is planning to introduce additional tools to further facilitate asset manager control and transparency, including those designed to detect NAV anomalies, provide NAV calculation status, and classify reconciliation breaks.
Christian Bolanos, senior vice president within the firm's investor services financial technology organisation, said: "While an asset manager's underlying fund administrator will always be responsible for the 'official' NAV calculation, InfoNAV facilitates an independent secondary NAV capability without the overhead of an additional administrator or duplicate operations."
He added: "Both asset managers and regulators are demanding new oversight models, so control and transparency into the operational process and output are imperative. Our clients have seen the value InfoNAV provides in creating a daily secondary NAV for comparison to their administrators."
The platform has been designed for the manager's middle office and treasury teams.
InfoNAV allows asset managers to monitor net asset value (NAV) creation performed by their third party fund administrators.
The new tool also assists asset managers to compare secondary NAVs to the administrator's NAV, highlighting specific variations that may require review or risk mitigation.
According to BHH, asset managers increasingly require daily administrator oversight as they face the challenge of managing complex data sets amid more stringent regulations.
In response to this, BHH is planning to introduce additional tools to further facilitate asset manager control and transparency, including those designed to detect NAV anomalies, provide NAV calculation status, and classify reconciliation breaks.
Christian Bolanos, senior vice president within the firm's investor services financial technology organisation, said: "While an asset manager's underlying fund administrator will always be responsible for the 'official' NAV calculation, InfoNAV facilitates an independent secondary NAV capability without the overhead of an additional administrator or duplicate operations."
He added: "Both asset managers and regulators are demanding new oversight models, so control and transparency into the operational process and output are imperative. Our clients have seen the value InfoNAV provides in creating a daily secondary NAV for comparison to their administrators."
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