Challenge
This client acquires and partners with insurance and reinsurance companies by selectively investing in and enhancing the underlying portfolio company capabilities to activate new growth and distribution opportunities.
Due to a lack of standardization across upstream investment managers, the client struggled with data quality issues related to incomplete security master information. This led to inaccurate risk, compliance, and accounting calculations and ultimately, an inability to view updated information daily.
Solution
The client implemented separate systems to support their accounting book of record (ABOR) and investment book of record (IBOR). To optimize their technology investment, the client needed a solution that could integrate security master and risk data from their IBOR with positions and transactions from their accounting system. They also required a reporting solution that could aggregate this data and produce comprehensive analytics, risk dashboards, and reporting across their external managers and portfolio companies.
Our managed data services team worked with the client to identify their goals and configure Rivvit to deliver the output they needed. Specifically, we:
- Integrated the client’s ABOR and IBOR to create rich data sets that combine data from each system
- Configured the client’s self-service portal with customized dashboards, reports, and data quality exception management
- Delivered multi-asset class security master supporting over 4,500 unique public and private securities
- Configured data hierarchy to support a single version of the truth for each data element in the client’s investment data warehouse
- Implemented fuzzy matching logic to overcome inconsistent security identifiers from source systems
Results
In just three months (one month ahead of schedule) Rivvit was configured to support the following business cases in a production environment:
- View ABOR and IBOR data; reconcile and view discrepancies between ABOR and IBOR
- Store historical, time series data from both ABOR and IBOR in a data warehouse
- Create gold copy records across portfolios, positions, and securities
- Elect a source of truth for every data element using Rivvit’s data source hierarchy
- Calculate RBC charges based on the standard NAIC rating scale
- Monitor investment guidelines at a consolidated and portfolio company level
- Automate board reports for the holding company, portfolio companies, and external managers
- Produce customized risk dashboards based on an automated daily process
- Detect and resolve data quality issues through an exception management workflow