Daily cash allocation and rebalancing ensures multi-asset investment portfolios, such as target date and balanced funds reflect their pre-determined asset allocation, in the face of constantly changing asset values. This complex operation requires great precision and is often highly dependent on partial automation and key personnel. It is laborious, prone to human error and too slow for major institutional clients with large funds and significant daily activity.
Our client recognized that in order to lead the market, they needed to utilize a fit for purpose automated platform to service their major institutional clients, for daily cash allocation and rebalancing of target date funds (both custom and open architecture) and other complex fund of funds structures. Ideally, this platform would support any investment products or pools, and thus enable pension fund sponsors, investment managers and consultants to design and implement highly customized solutions for their clients.