Any mutual fund/VA administrative experts out there...
We've been asked by a client to find a "third party" that they can use to "verify the daily NAVs" that they have on their admin system for certain mutual funds in their VA products. I'm not sure what this means exactly. I don't know if this is some kind of audit or regulatory requirement.
We did some investigation and found that these funds did not use Morningstar or Bloomberg but have their own proprietary systems for calculating and maintaining daily NAVs. So we found how we can get these from the fund manager.
But the client says they already get their NAVs from the fund manager and so they need a "third party" to verify them. Any ideas what this means exactly? How do we know whether a "third party" actually calculates NAVs or also gets them from the fund manager? And what would it mean to independently calculate the NAV? The formula is simple based on the assets, liabilities and fund shares. Do they just do the arithmetic? Or do they somehow have to verify the assets, liabilities, and fund shares daily?
Any ideas what this is about?
We've been asked by a client to find a "third party" that they can use to "verify the daily NAVs" that they have on their admin system for certain mutual funds in their VA products. I'm not sure what this means exactly. I don't know if this is some kind of audit or regulatory requirement.
We did some investigation and found that these funds did not use Morningstar or Bloomberg but have their own proprietary systems for calculating and maintaining daily NAVs. So we found how we can get these from the fund manager.
But the client says they already get their NAVs from the fund manager and so they need a "third party" to verify them. Any ideas what this means exactly? How do we know whether a "third party" actually calculates NAVs or also gets them from the fund manager? And what would it mean to independently calculate the NAV? The formula is simple based on the assets, liabilities and fund shares. Do they just do the arithmetic? Or do they somehow have to verify the assets, liabilities, and fund shares daily?
Any ideas what this is about?
Mutual Fund NAVs
0 commentaires:
Enregistrer un commentaire