NAV Movement Analysis is a consistent methodology to diagnose, explain NAV and Unit Price movements, and detect and remedy exceptions before a price is released.

NAV Movement Analysis is designed for fund accountants to explain the impact of any category of NAV or GAV movement between two valuation points over time.  The underlying methodology provides consistency for fund accounting teams and its implementation in pControl provides ability to drill from total level exceptions to underlying valuation or transaction details.

This provides a configurable framework allowing standard validations to be performed across any NAV movement category and new checks to be added quickly and easily.

Hierarchical Analysis

  • Movement analysis methodology details hierarchical NAV movement breakdown for analysis or client reporting.
  • Category hierarchy is configurable by client to meet specific reporting or servicing requirements around NAV constituent breakdowns, including movements of asset classes of underlying positions. 
  • Provides detailed portfolio valuation movement from the previous valuation point.

Movement Categorization

Total NAV movement is categorized into high level movement categories.  These are Capital Flows, Asset Price Changes and Other Assets and Liabilities, where:

  • Capital Flows are categorized by cashflows, unit movement and dilution.
  • Asset Price Changes are broken down by invested asset class or other asset related criteria.
  • Other Asset and Liabilities are categorized into impacts of cash, transaction profit and loss, income and expenses.

NAV Movement Tolerance Checks

  • Tolerance checking may be applied to all levels of the movement breakdown hierarchy.
  • Tolerance breaches allow anomalies at the hierarchical constituent level to be quickly detected.
  • Includes standard validations library supported by a configurable validation framework.

Service Level Aware

All pControl solutions are Service Level Aware and can internally monitor and escalate late running events such as late data arrival, and late override / approvals and final release within operational cut-offs and processing calendars.

Fund Accounting teams can monitor Service Level compliance through the following dashboards:

  • Production Summary dashboard to deliver progress monitoring of all required validations, approvals and release for the period.
  • Attention Status Monitor dashboard to provide real-time exception monitoring and aging for any activity with critical completion or Service Level Agreement deadlines.

NAV Movement Analysis is stakeholder and auditor friendly through a full audit trail of all NAV movement validation activity, and via its ability to deliver downstream reporting to meet service level commitments.