IDS Company Profile - IDS GmbH - Analysis and Reporting Services

Haider Mannan
High-Quality Reports:
Vision or Mission
TSAM Europe
25 March 2014
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Ill-defined data management jeopardizes all subsequent
analysis and reporting processes.
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Excessive challenges require current operating models
to function beyond their capabilities.
Tighter regulation for AM
UCITS IV/V
AIFMD
EMIR
FATCA
MiFiD II
Increasing IT costs
…
Demanding clients
Optimization of data management
Extension of controlling systems
Need for business intelligence
technology
Automation replaces manual
processes
New reporting requirements, e.g.,
CRR / CRD IV
Solvency II
Hard competition
Need for innovation
Harmonized markets
Emergence of international providers
New competitors
Market consolidation
Investment consultants in play
New products
New instruments
Stronger sales pressure
Clients more sensitive to price
Higher price transparency
Net outflows during the financial
crisis
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Example: Typical data quality issues in source systems
for performance attribution
Error
Consistent security data, but still inconsistent cash data (check: cash reconciliation)
Correction of Corporate Action
Investment values have been converted to portfolio currency using wrong rates or have not been converted at all
Impact (bps)
0 - 300 bps
0-5 bps
0 - 200 bps
Forex are wrong
up to 30 bps
Margin payments of futures are wrong (check: lead to gain on future cash in INV-currency)
up to 30 bps
Future positions: Missing price or nominal leads to exposure not being calculated
NAV check fails
Transactions appear twice
Transactions have been missing (issue with positions reconciliation)
up to 500 bps
3 - 100 bps
1 - 20 bps
3 - 100 bps
Transaction values (Set or Market Value) are wrong
1 - 20 bps
Transactions have been sent with wrong sign (issue with positions reconciliation)
1 - 40 bps
Unknown issue with correction security
1 - 100 bps
The market value of one position is wrong (e.g. calculated using a wrong price)
1 - 20 bps
Transactions have been sent with wrong settlement currency (issue with cash reconciliation)
1 - 40 bps
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The solution is a managed service platform using a vertical
integration approach.
Reporting on Results of
Specific Analyses
Performance
Attribution
Regulatory
Calculations
Other
Analytics
Analytics Engines
Software
Solution
Software + BI Tool
Enterprise Reporting Solution
Full Managed Service
Integrated Reporting with
Results of Different Analyses
Specific Datamarts
Standardization, Revaluation
Golden Source
Data Import, Validation,
Cleansing and Enrichment
70% of total effort for
high-quality
performance attribution
spent up to this point1
Data Management
Data Governance
Data Acquisition
© IDS GmbH – Analysis and Reporting Services
Data Sources
1analysis
carried out by IDS
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Case Study: Swisscanto required a solution to meet
their high standards for performance attribution.
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Joint venture and asset manager of the Swiss Cantonal Banks.
Leading investment fund provider (#4), asset manager and provider of occupational and
private pensions solutions (#2) in Switzerland.
Regularly recognized for excellence by leading national and international rating agencies for
its performance as fund provider.
AuM: 51.2 bn CHF*
121 investment funds
Requirements
 Performance attribution reports for portfolio management and client reporting.
 Uniform decision-oriented reporting across all asset classes.
 Attribution process adapted to Swisscanto’s individual investment process.
 Coverage of daily portfolio and customized benchmark data at individual position level.
 Minimize workload for data management, data enrichment and quality control.
*as at 31 December 2013
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Case Study: All project goals were reached within
6 months.
June 2011
IDS selected as
provider
September 2011
Interfacing IDS
December 2011
Prototyping,
Reporting,
Testing; Quality
control
Productive reports
for first funds
Go-live
Performance
attribution reports
for 50 funds
2 monthly report
sets per fund
Ongoing
Extension of
services
Rapid and
individual adoption
of additional
services to account
for new strategies
and investment
concepts
Added regulatory
reporting for banks
and insurers on
same data set
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Case Study: Implementation and enhancement of services
was easily accomplished by IDS’s operational model.
Reporting
One workflow, one dataset based on a highly scalable
Portfolio analytics based on
Client defined content
and flexible platform
state of the art applications
scheduled and ad hoc
Other Software
Performance
Attribution
Preprocessed
Client Data
Golden
Records
Technical
Compliance
Cross
Referencing
GRIPS
Client’s
systems
Market Data
Sources
Business Platform
Portals
Analytics
Reporting
Business Process
Master Record Keeping
Financial Library
Data Management and Governance
Analytics
Reporting
about 50 data vendors
361 source systems
10,400 portfolios in total
253,000 instruments identified monthly
26,600 reports on a monthly basis
4.2 million instruments in data warehouse
50 million client holdings monthly processed
over 1,000 bn EUR assets under reporting
(as at December 31, 2013)
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Takeaways
Highly competent and service-oriented
contact persons and focus on the
interpretation of results.
Certified procedures, permanent quality
controls, transparent processes and
long-term experience in the business.
High Quality Reports
with IDS Performance
Attribution
Solid platform as a basis for qualityassured and cost-efficient
improvement of services and
satisfaction of future requirements.
© IDS GmbH – Analysis and Reporting Services
Implementation of interfaces from
various sources to a high-performance
platform and capability to provide
standardized and customized solutions
according to current regulatory
requirements.
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Contacts
Haider Mannan
Director International Business Development
+44 750 66 75 102
[email protected]
IDS GmbH – Analysis and Reporting Services
Koeniginstrasse 28
D-80802 Munich
Bockenheimer Landstrasse 42-44
D-60323 Frankfurt/Main
www.InvestmentDataServices.com
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