Reliable & convenient investment limit check with DIAMOS InvestmentCompliance (ICM)

The auditing of legal and contractual investment limits is one of the sensitive and demanding areas of responsibility within the investment business. If the software used does not cover all the required functionalities, difficult-to-maintain and error-prone workarounds quickly arise – often in connection with head monopolies. However, the focus is often not on the traceability of the regulatory audit but rather on correct reporting. Our goal is to be able to present the audit trail in a readable and understandable way, to limit formulas to the necessary minimum, and to make functionalities that were previously only accessible via complicated detours (or not at all) available in an easily configurable way.

Benefit from these advantages:

• Preconfigured control packages
• Asset tree freely definable
• Ex-ante and ex-post audit

Preconfigured rule packages are available (currently for UCITS and special funds in Germany, Luxembourg, Liechtenstein, and Austria). This also includes a complete interpretation of the legal texts and translation into a generally applicable regulatory language. DIAMOS will take over subsequent adaptations to the changing legislation. Customer-specific deviations from predefined rules are, of course, possible.

DIAMOS-ICM can be used as a standalone version and thus supplements existing systems with an investment limit check. Holdings and master data are readily imported via interfaces.

The investment limit check of the asset categories is independent of the rest of the system. The ICM module is thus not affected by any changes in the system because the asset tree for the check is freely definable. If later adjustments are necessary, they can be carried out easily and centrally in one place.

The audit is possible for each order status. In ex ante checks, pending transactions may be included in the audit.

Further specifications and functionalities

If required, further modules hat integrate seamlessly into the processes can be added t:

• FundAccounting: Transaction-based real-time accounting and inventory management
• OrderManagement: Mapping of the trade process chain
• TransactionManagement: Mapping of transaction processes in the investment business
• FeeManagement: Transaction cost analysis for broker and custodian bank fees
• Reconciliation: Reconciliation and validation process between business partners
   

DIAMOS Application Service Providing (ASP) and Software as a Service (SaaS) solutions allow system operation to be handled entirely via our  DIAMOS data centre.

The development of new rules is supported by test functionalities at all intermediate steps within the rule creation. Logically related changes can be easily transferred to other systems (e.g. development, test, and productive systems). New rules or parts of them can also be tested in productive systems without affecting the existing system. Adaptations and new developments are optionally released in a dual control principle. The check is activated only when the rules are assigned to funds.

The access rights can be fine-tuned throughout the system; each user only sees the data and functions for which he or she is authorised.

The ICM module can be used both in the context of other DIAMOS F modules and as a stand-alone version in which external holdings are audited. The system is available as a cloud or as a locally installable version.