SS&C Technologies has secured a data aggregation and shadow services mandate from Innocap Investment Management and its $7.2 billion managed account platform.
As part of the mandate, Innocap will leverage SS&C GlobeOp’s investment book of record (IBOR) and net asset value (NAV) reconciliation services.
SS&C will consolidate and report aggregated data from more than 40 trading advisors on Innocap’s platform and deliver its IBOR on trade date.
The mandate will help support Innocap’s platform growth and increase in the number of trading advisors, administrators and data provider relationships across time zones and products.
“We needed an efficient and scalable operating model in order to consume data earlier while reducing the complexity of processing, enriching and distributing data, complementing our internal processes,” said Jean Baram, COO at Innocap. “As we grow, we look forward to leveraging Innocap and SS&C’s combined experience with managed account platforms and institutional investors.”
SS&C will also provide daily trial balances and performance fees across Innocap’s multiple fund administrators to reconcile the independently aggregated IBOR with the official accounting book of records (ABOR).
Shadow administration services are growing in demand from buy-side firms, due to rising reputational concerns over NAV issues stemming from IT outages.
Research from FinTech firm Milestone Group found that 87% of asset manager respondents said reputational damage was a reason for employing additional oversight on fund administrators.
In January last year, Swiss tech vendor Temenos struck a partnership with Bloomberg to offer its Multifonds Global Accounting product to its buy-side users, allowing asset managers to generate NAV estimates independent of, and in parallel, to their fund administrators.