Custody on dasarpAI

Asset Management Reconciliation

hari@dasarpai.com (Dr. Hari Thapliyaal) — Sat, 11 Jul 2026 00:00:00 +0000

Part 8 of the Complete Guide to Reconciliation Systems in BFSI

At the end of a valuation day, an investment fund’s portfolio system and custodian agree that the fund owns 100,000 shares of a company. Operations celebrates a clean position reconciliation. Minutes later, the fund accountant reports that the fund’s net asset value is overstated.

The shares are correct. Their price is not.

The valuation system used yesterday’s closing price of USD 20.00 instead of today’s approved price of USD 19.50. The position is therefore overstated by USD 50,000:

Capital Markets Reconciliation

hari@dasarpai.com (Dr. Hari Thapliyaal) — Wed, 08 Jul 2026 00:00:00 +0000

Part 7 of the Complete Guide to Reconciliation Systems in BFSI

Shortly after a portfolio manager buys 10,000 shares, the trading screen shows a completed order. The broker confirms the execution, and the portfolio system includes the shares in its expected position. Two days later, operations learns that 2,000 shares did not settle because the delivering party lacked sufficient securities.

Nothing in the original execution screen looked wrong. A trade had occurred, but part of the promised exchange of securities and cash had not been completed.