Who We Serve
Back-office and middle-office support for broker-dealers
Broker-dealers run on daily controls. Fundtec provides trained capacity for trade booking, reconciliation, P&L and regulatory reporting preparation, working in your systems and under your supervision.
In one minute
Broker-dealer operations support is the daily middle- and back-office work behind a trading business: trade booking and allocations, settlement support, cash, position and counterparty reconciliations, P&L, margin and collateral, and regulatory reporting preparation. Fundtec provides these services to broker-dealers through dedicated pods working in the firm’s own systems, with supervision, sign-off and regulatory filing responsibility remaining with the firm’s principals.
Firms of this type, whether they need full administration, a middle office, or capacity added to an existing team.
A 30-minute scoping call, then a written plan: scope, the transition timeline and indicative pricing. No generic proposal.
Where Fundtec fits in a broker-dealer’s operations
A broker-dealer’s operations are measured daily: trades booked and allocated correctly, settlements completed on time, cash and positions reconciled with the clearing firm and counterparties, and capital and customer-protection computations supported by clean data. Small breaks become regulatory issues quickly.
Fundtec provides trained analysts who perform this work inside the firm’s own systems, following its written supervisory procedures. The firm’s registered principals, including its financial and operations principal, keep supervisory and filing responsibility. Fundtec is not a broker-dealer and does not execute, clear or hold customer assets; it supplies the operational capacity and documentation that make the firm’s own controls work.
Broker-dealer operations we support
Trade booking and allocations
Booking of block trades and allocation to accounts, with exceptions routed to the desk.
Settlement support
Monitoring of pending settlements, settlement fail investigation and follow-up with counterparties and the clearing firm.
Cash and position reconciliation
Daily cash reconciliation and position reconciliation against clearing, custodian and bank records.
Counterparty reconciliation
Open trades, balances and collateral reconciled with each counterparty, with disputes logged and aged.
P&L
Daily P&L by desk and product, reconciled to the general ledger and explained by driver.
Margin and collateral
Margin calls, collateral movements and financing balances tracked and reconciled daily.
Regulatory reporting support
Data preparation and exception investigation for periodic financial and regulatory reports, for principal review and filing.
How a broker-dealer engagement is structured
Engagements start with process mapping against your written supervisory procedures. Fundtec documents each task, its inputs, its reviewer and its deadline in an operational handbook, then runs a parallel period in which the pod performs the work alongside your team before taking ownership. Principals review the output throughout.
The daily rhythm is built around the clearing cycle. Start-of-day reconciliations and fails reviews are complete before the desk opens; intraday exceptions are cleared or escalated during Fundtec coverage hours; end-of-day P&L is delivered with commentary. Trade breaks are aged and escalated through a named matrix, so nothing sits unresolved without an owner.
What each Fundtec offering does for a broker-dealer
Use cases
- Build an Offshore TeamA dedicated offshore operations team working under your supervisory procedures.
- Scale Your Investment OperationsCapacity for new products, desks or clients without extended hiring cycles.
- IBOR/ABOR MigrationSupport for moving trade and accounting records to a new platform with reconciled opening positions.
Middle office
Managed investment operations
- ReconciliationA reconciliation pod for cash, positions and counterparties with a documented break-aging process.
- Shadow AccountingIndependent P&L and balance validation against the firm’s general ledger.
- Investor ServicesClient onboarding documentation and KYC file preparation for review by your compliance team.
Daily broker-dealer operations calendar
| Time of day | Activity | Output |
|---|---|---|
| Start of day | Cash and position reconciliation to clearing and bank records | Break report with aging |
| Start of day | Pending settlement and fail review | Fails list with counterparty follow-up |
| Intraday | Trade booking and allocation exceptions | Exception queue cleared or escalated |
| Intraday | Margin and collateral calls | Call log and collateral movements |
| End of day | P&L by desk and product | Daily P&L pack with commentary |
| Periodic | Regulatory reporting data preparation | Reviewed data package for principal sign-off |
Controls built into broker-dealer engagements
- Work performed only in firm systems through firm-issued accounts
- Written procedures aligned to the firm’s supervisory framework
- Maker-checker and four-eyes review on reconciliations and P&L
- Break-aging and escalation matrix with named owners
- Full audit trail and ISO 27001 certified information security
- Trained backup for every role and a documented BCP
Engagement model
How an engagement is structured
Economics aligned to your growth. Scope, cadence and pricing are confirmed jointly in the first phase.
- 01 · Weeks 1–4
Onboarding & design
A phase-linked fee covers process mapping, the operational handbook, systems access and the SLA framework — before any handover.
- Target operating model
- Operational handbook
- SLAs agreed jointly
- 02 · From the parallel run
Monthly base fee
Your dedicated team, pod manager oversight and the governance cadence — daily huddle, weekly review, monthly service review, QBR.
- Named PM → SME
- Trained backup for every role
- Governance included
- 03 · As you grow
Scales with AUM
AUM-linked tiers and pre-agreed triggers for new mandates or counterparties — so growth never means renegotiating the contract.
- Transparent triggers
- No renegotiation
- Quarterly pricing review
Every engagement starts with a scoping call — no obligation, no generic proposal.
Request an indicative proposalQuestions
Common questions about Broker-Dealers
Didn’t find your question? Put it to a specialist directly.
Ask a specialistFrequently asked questions
What broker-dealer functions can Fundtec support?
Fundtec supports trade booking and allocations, settlement and fails follow-up, cash, position and counterparty reconciliations, daily P&L, margin and collateral tracking, and regulatory reporting data preparation. Work is performed in the firm’s systems under its procedures, with supervision and sign-off retained by the firm’s registered principals.
Does Fundtec file regulatory reports for broker-dealers?
No. Fundtec prepares and reconciles the underlying data, investigates exceptions and documents the work, but filing and attestation remain with the firm’s financial and operations principal and other registered persons. This keeps regulatory responsibility where it belongs while giving the principal a complete, reviewed package.
Is Fundtec a registered broker-dealer?
No. Fundtec is an operations and business-process firm. It does not execute or clear trades, hold customer funds or securities, or perform registered functions. It provides operational capacity and documentation to firms that hold those registrations, and works within their supervisory framework.
How do you handle reconciliation breaks?
Every break is logged with an owner, category and age. Routine breaks are resolved within the team; aged or material breaks follow an agreed escalation matrix to the firm’s operations and finance leads. Break-aging reports are delivered daily, so management can see exposure before it becomes a capital or customer-protection issue.
Can Fundtec produce daily P&L for our trading desks?
Yes. Fundtec calculates daily P&L by desk and product from positions, trades and prices, reconciles it to the general ledger and explains movements by driver such as price, carry, fees and new trades. Desk heads receive a consistent pack each morning, and variances between front-office and finance figures are investigated.
How is client and firm data protected?
Analysts work through firm-issued accounts over VPN or remote desktop with no local storage. The firm grants and revokes access, all activity is logged, and a data processing agreement is in place. Fundtec is ISO 27001 certified and can document its controls for the firm’s vendor due diligence and regulators.
How long does it take to transition broker-dealer operations to Fundtec?
Transitions follow four phases: onboarding and design, a parallel run, structured handover and full operations. Reconciliations and settlement monitoring usually move first because they are well defined; P&L and regulatory data preparation follow once principals have signed off parallel results. The core cut-over typically completes in around 90 days, with each phase gate confirmed by the firm.
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Tell us which desks, products and reconciliations need support. We will outline a pod that works to your procedures.