i-Recs™ is an automated reconciliation system designed to meet the needs of the asset management industry. i-Recs matches positions, balances, trades, cash flows and uniquely, P&L between internal systems and external service providers and across all instrument classes.
i-Recs is the only system available that completely solves margin accounts reconciliation for listed and OTC derivatives. i-Recs also handles full NAV reconciliation accounting for all differences in positions, balances, prices and exchange rates between the internal accounting system and records provided by the custodian or administrator.
i-Recs is a multi-user client-server database application with an open and highly configurable structure. Essentially a dual accounting system, i-Recs is designed to continuously isolate all differences between disparate asset management systems whilst maintaining full control of data integrity at every step of the process. The extremely flexible match engine can be user-configured to match any data and identify and annotate unmatched or mismatched records using one to one, many to many and iterative matching rules.
i-Recs’ work flow system allows users to manage all identified breaks, annotating them manually or automatically, and forwarding them to teams or other users. The integrated reporting engine not only supports the users in their daily activity, but critically, provides concise risk information to operations management, and objective performance measures required to assess service levels of providers.
Central to the design of i-Recs is the accounting framework within which reconciliation data is held. Operating like a portfolio accounting system i-Recs validates the internal integrity of all received data by comparing computed positions and balances based on transactions with the imported equivalents, thus ensuring the continuity and completeness of the received information.
Discrepancies are highlighted to allow further investigation and repair. i-Recs goes further with this accounting model. The mathematical relationship between the two sets of reconciliation data, one internal the other from the custodian or administrator, is also embedded into its logic. Any mismatching of transactions or incorrect amendment throws the reconciliation immediately out of balance signaling to the users the event and the cause.
Match rules prepared using i-Recs’ match engine are highly configurable handling one to one, one to many, many to many and iterative matching. A wide range of tolerances can also be set. Rules can match, unmatch and propose matches. Matching is fast and effective; match rates for cash and trades continually exceed 98% leaving only “real breaks” that require further investigation.
i-Recs provides fully integrated and flexible work flow functionality to annotate breaks automatically or manually and route to designated users or teams for remedial action. All users and teams have a Work Tray logically equivalent to the in box of Outlook containing break items assigned to them.
i-Recs contains a powerful and fully featured reporting suite with the flexibility to quickly and easily add custom reports. Users can modify existing reports and save these for future use. Reports can be exported to all standard formats (Excel, pdf, Word etc.) or mailed directly through Outlook.