About · Controls & Governance
Controls and governance built into every fund operations process
Controls are not a layer we add for audit season. They are how each process is designed, documented and reviewed from the first day of an engagement.
In one minute
Fund operations controls are the checks that make outputs such as NAVs, reconciliations and payments reliable and auditable. Fundtec provides a documented controls and governance framework on every engagement: four-eyes and maker-checker review, segregation of duties, audit trail, break aging, an escalation matrix, client-controlled access, a DPA, a BCP and ISO 9001 and ISO 27001 certification.
Anyone assessing Fundtec as a partner: investors doing due diligence, managers comparing providers, and prospective colleagues.
A 30-minute scoping call, then a written plan: scope, the transition timeline and indicative pricing. No generic proposal.
Why controls matter in outsourced fund operations
When a manager hands a process to a third party, it hands over execution but not accountability. Investors, auditors and boards still expect the manager to show how errors are prevented, found and fixed. Our job is to make that evidence exist by default.
Every Fundtec process is mapped and written into an operational handbook during Phase 1 of the engagement. Each step has a preparer, a reviewer, a cut-off and an escalation route. That structure is what allows a NAV or a wire to be traced back to its source and its approver.
Core operational controls we run
- 01
Four-eyes and maker-checker
No material output leaves a pod without a second qualified reviewer. The four-eyes principle applies to NAV packs, reconciliations, fee calculations, journal entries and payment instructions.
- 02
Segregation of duties
Segregation of duties separates booking, reviewing and releasing. Payment release authority stays with the client or its bank signatories.
- 03
Audit trail
Every change is logged with user, time and reason, whether in Tychi or in the client’s systems. Auditors can follow a balance back to source.
- 04
Break aging
Reconciliation breaks are tracked by age and value in a break-aging log, with owners and target resolution dates.
- 05
Error escalation matrix
Issues are graded by financial and investor impact. The matrix defines who is told, and how quickly, from pod lead to Head of Business to client COO.
- 06
SOPs and operational handbook
Written SOPs for each process, version-controlled and reviewed with the client when scope or systems change.
How client data and access are protected
In managed investment operations engagements, the client stays in control of its environment.
- Work performed through client-issued domain accounts
- Access via client VPN or remote desktop
- Zero local storage of client data on Fundtec devices
- Access granted and revoked by the client
- Full audit trail of user activity
- Data processing agreement (DPA) signed before access is issued
- ISO 27001-certified information security management
- Documented business continuity plan with trained backups for every role
Governance cadence: how oversight works week to week
| Forum | Frequency | Attendees | Purpose |
|---|---|---|---|
| Daily huddle | Daily, 5–10 minutes | Pod PM and analysts; client contact as needed | Priorities, cut-offs, open breaks and blockers |
| Weekly review | Weekly | Pod PM and client operations lead | Progress against the open-items log and aged breaks |
| Monthly review | Monthly | Pod manager, PM and client | SLA performance, errors and escalations, process changes |
| Quarterly business review | Quarterly | Fundtec partners, pod manager and client COO | Service quality, scope, growth plans and risk |
How an error is handled from detection to fix
Detect
The issue is found through review, a reconciliation break or an exception flag, and logged with time and owner.
Grade and escalate
The escalation matrix sets severity by financial and investor impact and determines who is informed and when.
Correct
The fix is prepared and reviewed under maker-checker, and affected outputs such as a NAV or investor statement are reissued where needed.
Root cause and prevent
The cause is documented, the SOP or control is updated and the change is reviewed at the next monthly meeting.
What we certify and what is in progress
Fundtec is certified to ISO 9001 (quality management) and ISO 27001 (information security). SOC 1 and SOC 2 attestations are in progress and will be published when the reports are issued; until then we do not claim them. Where an investor or auditor requests specific control evidence, we provide the relevant procedures, logs and certificates directly.
Questions
Common questions about Controls & Governance
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Ask a specialistFrequently asked questions
What is maker-checker in fund operations?
Maker-checker is a control where one person prepares an item and a second, independent person reviews and approves it before it is used. At Fundtec it applies to NAV packs, reconciliations, fee calculations, journal entries and payment instructions. It reduces the chance that a single error or unauthorized action reaches investors, counterparties or the books.
Does Fundtec have SOC 1 or SOC 2 reports?
SOC 1 and SOC 2 attestations are in progress; Fundtec will publish the reports when they are issued and does not claim them before then. Today Fundtec is certified to ISO 9001 for quality management and ISO 27001 for information security. For operational due diligence, Fundtec provides its certificates, written procedures, controls descriptions, governance cadence, business continuity plan and data processing agreement so investors and auditors can assess the control environment directly.
Who controls access to our systems when Fundtec works on them?
You do. Fundtec staff work through domain accounts that the client issues, over the client’s VPN or remote desktop. The client grants and revokes access, activity is logged in the client’s audit trail and no client data is stored locally on Fundtec devices. A data processing agreement is signed before any access is provided.
How are errors escalated?
Errors are graded under a written escalation matrix by financial impact, investor impact and time sensitivity. Minor items are resolved within the pod and logged. Material items go immediately to the pod manager and the client contact, and the most serious are escalated to Fundtec’s Head of Business and the client COO, with root-cause analysis and a procedure update afterwards.
What is break aging and why does it matter?
Break aging tracks how long each reconciliation difference has been open and what it is worth. Old breaks are the ones most likely to hide a real loss, a missed corporate action or a failed settlement. Fundtec keeps a break-aging log with owners and target dates, reviews it weekly with the client and escalates items that pass agreed thresholds.
How does Fundtec keep operating during a disruption?
Fundtec maintains a documented business continuity plan and a trained backup for every role. Delivery runs from four centres in India with client coverage in New York and Dubai, so work can shift between teams and locations. Because work runs on our ISO 27001-certified platform or in client systems, never on local devices, continuity does not depend on a single Fundtec office.
What is segregation of duties in fund operations?
Segregation of duties means no single person can both initiate and complete a sensitive task. In fund operations, the person who books a trade or prepares a payment is not the person who approves or releases it. At Fundtec, booking, reviewing and releasing are separated, and payment release authority stays with the client or its bank signatories.
How do Fundtec’s controls help with investor due diligence?
Operational due diligence questionnaires ask how errors are prevented, who reviews outputs, how data is secured and how the business continues during disruption. Fundtec’s written procedures, maker-checker records, escalation matrix, governance cadence, BCP, DPA and ISO certificates provide direct evidence for those sections, so the manager can answer accurately and consistently.
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We will walk your operations or compliance team through our procedures, governance cadence and certifications.