An Industrial Strength Recon System
In the wake of the 2008 Financial Crisis, another layer of complexity in regulatory requirements has been added to the operational structure of investment management firms. Market-shifting events like the Madoff Ponzi scheme and Lehman Brothers bankruptcy created a need for checks and balances to ensure reconciliations are done by an outside party to further protect investors. In the light of these developments, it has become increasingly important for managers to have access to trade and position level information at all times. Therefore, managers have been investing more time and effort into their operational processes and infrastructure around data and analytics as the demand for reporting and regulatory scrutiny has dramatically increased. In our view, a sound infrastructure armed with on-demand tools provides the best defense against regulatory breaches and operational failure.
The new Imagine Reconciliation System is a web-based solution that is made to fit perfectly into any operational infrastructure and is capable of addressing the entire reconciliation life cycle. With automated matching and exception processing, our reconciliation product lowers operational risk while at the same time reducing operational costs. As we have observed with many managers in the industry, manual reconciliation can take several hours a day while creating a higher risk of potential of errors. Our reconciliation system infrastructure sits on a complex backbone directly hooked up to your Imagine account, where your positions reside. Our system is on-demand, reliable, and can process thousands of trades within a matter of seconds while offering a simple, intuitive end-user experience.
Imagine Does the Heavy Lifting
Imagine consultants offer a no-impact implementation with a product that is scalable for any size business. By managing approximately 80% of the workflow, this product will reduce your team’s efforts significantly.
Our reconciliation product provides canned dashboards that are tailored to delivering immediate views and easy drill-downs of your important data providing you with operationally critical analytics.
With a super low-impact implementation, an on-demand, web-based product with a robust reconciliation engine might be what you need to make your operational infrastructure stronger. Imagine can make this easier to achieve than you might think.
About the Author
Murat Sen is a Consultant in Imagine’s New York office working on consulting engagements and client-facing product management projects. A native of Istanbul, Turkey, Murat holds an MBA from Cornell University.
Murat can be contacted by email or phone: 646.827.4433
It was a historic moment to be remembered when crude oil plunged into negative price territory on Monday 20th April 2020. Imagine’s Data, Technical, Development and Professional Services teams stood ready to assist users in ensuring they continued to correctly calculate risk metrics across commodity trading books. While negative prices are not a new thing in financial markets, it was the first time for crude oil to exhibit such behaviour. Standard pricing models (Black Scholes) for commodity future options are not designed to handle negative underlying prices. As such, Imagine applied an ‘early roll’ of the front month contract of May crude to the June expiry as the negative settle price was confirmed.