Indos Financial, a UK independent depositary, has pushed live the second phase of its DEPOcheck software intended to provide a workflow management and fund oversight solution for depositary businesses – meeting the requirements of AIFMD covering hedge funds, private equity and property funds.
The first phase of the software project was completed in 2016. This focused on ensuring the workflow management system could record daily, weekly, monthly and quarterly depositary activity. The second phase adds cashflow monitoring, asset record keeping and verification modules to the software, including the ability to process large volumes of financial data from multiple sources – fund administrators, prime brokers and custodians – in different file formats.
A third phase is intended for completion in the first quarter of 2018, which will focus on automation of fund net asset value oversight activity and that will offer artificial intelligence-based data analysis.
The launch of DEPOcheck takes Indos Financial in a different direction, as CEO Bill Prew notes: “We initially developed DEPOcheck to address shortcomings in our then existing third party workflow management system. We realised the potential of the system to do much more and set out to extend the system to replace another system we used to automate some of the depositary fund oversight activities our business performs. There are no other systems in the market that offer a similar integrated workflow management and automated monitoring solution for depositary businesses. We believe DEPOcheck will set a new industry standard.”
“DEPOcheck is a much faster and more flexible system than the previous third party systems we used and has already made a material difference to the efficiency of our operations. After one-off investments in the development of the system, Indos has already benefited from significant financial savings allowing us to focus our resources in other areas of business priority.”
Indos Financial recently appointed Jon Masters to the new position of head of Client and Business Development. Previously, he was head of Compliance at Sciens Group in London since 2014. Prew noted then that some 80 funds were using Indos as their independent depositary under the AIFMD regulations, representing some $15bn equivalent of assets.