FundLine-R

What is FundLine-R?

The importance of trailer fees is growing with the success of investment funds. However, determining, calculating and distributing them proves to be very labor-intensive and time-consuming for the majority of financial service providers, as individual contracts are concluded between KAG and counterparty with different commission agreements. In addition, the entire workflow is characterized by media discontinuities.

FundLine-R (R stands for retrocession) is a solution for automating all activities associated with the processing of portfolio commissions. The solution covers various areas of application:

• Payment of portfolio commissions
  (relevant for investment companies)
• Receipt of trailer fees
  (relevant for funds of funds, private client departments, etc.)
• Distribution of trailer fees
  (relevant for transaction banks, cooperation with external financial intermediaries, cost center accounting)

The solution has an open system architecture so that relevant information available in third-party systems can be integrated. Position reports are generated automatically and can be sent in various ways. For the calculation of trailer fees, FundLine-R covers a wide range of different calculation methods. Incoming portfolio commissions are automatically checked for completeness and distributed to the recipients. During distribution, FundLine-R also supports downstream recipients, such as financial intermediaries, who benefit proportionally from incoming payments.

FundLine-R also supports the opposite side, i.e. the payment of trailer fees. For this purpose, the system allows the convenient integration of incoming portfolio reports. Based on the portfolio management and the contract information maintained in the system, FundLine-R creates a disbursement proposal and generates all bookings for the legal system.

For financial service providers, the use of FundLine-R is associated with positive benefits in the form of efficiency gains, quality and service improvements, and guaranteed audit security.

Core functions of FundLine

• Automated calculation of commission claims and payout amounts
• Mapping and distribution of complex fee structures
• Support for subsequent calculations and retrospective adjustments
• Simulation options for both completed and future billing periods
• Consideration of tax requirements and charges within the calculation logic
• Processing of corrections, reversals, and cancellations
• Contract management with intelligent rule and condition logic
• Import of data from different systems, sources, and file formats
• Integrated task and workflow management for controlling processing steps
• User-definable import templates for recurring data transfers
• Detection of cascading holdings to avoid double counting
• Checking and identification of repeatedly imported data records
• Flexible mapping of different calculation methods, billing dates, period models, volume scales, and minimum or maximum fees
• Creation of individual analyses and reports for internal and external recipients
• Report output based on company-specific corporate design requirements
• Multi-client and provider capability for use in complex organizational structures
• Multi-currency support for international billing processes