Definition: A pooled investment vehicle that employs various strategies, such as long/short, global macro, or arbitrage, to earn active returns for investors. Due to high trade volumes and complex asset classes (including derivatives), hedge funds require rigorous, high-frequency reconciliation to manage operational risk and liquidity.
Example: A global macro hedge fund executes hundreds of FX and swap trades daily across multiple prime brokers. To manage margin and risk, the fund must perform daily reconciliations of positions and collateral to ensure its “available to trade” cash is always accurate.
Explore the IVP Reconciliation Solution
The IVP Reconciliation Solution is purpose-built for the complexity of the hedge fund industry. Our integrated model handles the diversity of asset classes and the high volume of data feeds common in hedge fund operations. By providing automated matching and expert break investigation for everything from equities to complex OTC derivatives, IVP enables hedge funds to scale operations without a corresponding increase in back-office headcount.
