Regan Capital, a fixed income trading and registered investment firm, has selected and implemented Fund Studio as its portfolio management system.
Fund Studio, the flagship product of Objecutive, is a SaaS application that provides middle and back office functionality to the buy side community.
Regan Capital was founded by Skyler Weinand in August 2011 with USD2 million in capital, and has grown to close to USD400 million in assets under management. About 90 per cent of Regan Capital’s portfolio is invested in residential mortgages, both agencies and non-agencies, and the rest of the portfolio is in municipals, CMBS, equities futures and options.
Jarret Daniel (pictured), head of operations of Regan Capital, says: “Throughout the years, as assets under management grew, there was a need to automate our trade order and allocation process as well as our reconciliation with fund Administrators.
“Our institutional clients were comfortable with our investment management risk process, but we were relying on manual processes to support middle to back office functionality and were lacking an institutional strength application to enable us to mitigate operational risk.”
Regan Capital trades in mortgage securities with a variety of counterparties, and it was a very laborious process to reach out to over 50 broker-dealers to get quotes on over 700 securities. Through Fund Studio’s dealer pricing module, Regan Capital is able to automate, reconcile and review their valuation process, drastically reducing the time from three days to a few hours.
Regan Capital’s portfolio managers also benefit from having real-time reports broken down by asset class for their own sector and are able to easily view cash projections non-payment of principal and interest at the end of month.
Costas Kellas, CEO of Objective, says: “We are delighted to have implemented Fund Studio for Regan Capital, which seamlessly integrates with their order management system and provides huge operational time savings.”
With Fund Studio, Regan Capital is now automating their middle office operations, streamlining their reconciliation process with their Fund Administrator and its valuation process is in compliance with their auditor’s requirements on a quarterly basis.