IBOR Data Management - Standardization
2 likes969 views
The document outlines a framework for IBOR (Investment Book of Record) data management, focusing on data standardization, quality management, and service offerings. It describes the establishment of core and enhanced data services, processes for aligning client data dictionaries, and the importance of transparency and traceability in data handling. The document emphasizes the need for a structured approach to ensure high data quality and provides an implementation framework for consolidating and cleansing data across multiple client sources.
IBOR Data Management - Standardization
- 1. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com IBOR Data Management Data Standardization Framework Burak S. ARIKAN November 2015
- 2. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 1 Data Dictionary Data Quality Management Data Lineage • Standard IBOR Data Dictionary • Core Data Service • Enhanced Data Service • Comprehensive Data Quality Management • Critical Data Elements • Business Rules • Active/ Proactive Monitoring • Data Issue management • Data Lineage • Transparency from source to delivery • Source system to data extract • Source system to report IBOR Data standardization will not only be limited to making data available within a report, but also ensuring presented quality data to be interpretable, traceable, manageable within regular day-to-day operations. IBOR Data Standardization Overall Approach
- 3. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com Portfolio Account forms the core data representing health of investments being held by an asset manager and be a foundation of IBOR. The asset manager can further purchase ancillary services from middle office service provider, and the data being introduced by these ancillary services can form the extended data service. Trade Management Portfolio Accounting Security Reference Data Man. Asset Servicing * Collateral Management Cash Management Performance Management Reconciliation Client Account Management Pricing Data Man. Investor Services Offerings Core Data Service IBOR Data Domains Transaction Position Valuation Sec Ref Data Pricing Client Data Asset Servicing Enhanced Data Service Cash Man Trade Man Sec Ref Data Reconciliation Derivatives Pricing Client Data Asset Servicing Collateral ManPerformance 2 Derivatives Listed/OTC * Includes: Corporate Action, Proxy Voting, and Class Action Fund Order Processing Fund Order Pro. Portfolio Accounting Related: Dividend rate, dividend ex-date Asset Servicing Related: Selection, price before event, price after event IBOR Data Standardization IBOR Services & Data
- 4. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com Illustration of some core and enhanced data service attributes for Corporate Action domain within Asset Servicing can help to explain the concept to further. The ancillary service is this example is Voluntary Corporate Action processing. IBOR Core Data Service Dictionary IBOR Enhanced Data Service Dictionary Data Attributes Asset price before event Asset price after event Decision Default option Default response close date and time Default option Response Due Date Effected Date Elected Units Data Attributes Corporate Action Type Corporate Action Type Description Corporate Action Reference Number Dividend Rate Dividend Receivables in Base Currency Dividend Ex-date Dividend Pay Date 3 IBOR Data Standardization Data Dictionary Illustration
- 5. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com The disbursed client dictionaries needed to be aligned, then furthermore benchmarked to ensure consistency among the dictionaries and organization’s internal data infrastructure boundaries. Client 1 Data Dictionary Client 4 Data Dictionary Client 2 Data Dictionary Client 3 Data Dictionary Internal Data Requirements Map / Normalize Trade Management Security Reference Data Asset Servicing Pricing Data Collateral Management Cash Management Performance Management Reconciliation Client Account Data Portfolio Accounting BENCHMARK Aligned Data Dictionary IBOR Core Service Data Dictionary IBOR Enhanced Service Data Dictionary = 4 Derivatives Listed/OTC Fund Order Processing IBOR Data Standardization Data Dictionary Approach
- 6. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 5 Define a standard approach to how IBOR data should be positioned in order to ensure a high data quality service level. Although the process is depicted in a linear view. • Existing validation • Partial Validation • No Validation • Completeness • Consistency • Accuracy • Define rules • Apply to relevant data items • Automated solution • Runs business rules • Provides exception • Manages data release • Location • Service levels • Process Principles: Not all data can be evaluated – Critical data needs to be identified Business rules should not repeat existing checks Validated data - Focus is on completeness & consistency rather than inherent quality Un-validated data – Focus is on accuracy along with completeness and consistency Clear agreement is required on how and when data can be released – service levels Define Data Quality Determine Quality Rules Operating Model & Process Technology Tools Rank Data IBOR Data Standardization Data Quality Management
- 7. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com Appendix – Data Dictionary Standardization Sneak Preview
- 8. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 7 3. Creation of a database to consolidate multiple Client data dictionaries and related structure. 1. Creation and cleansing of CORE IBOR Client Data Dictionaries by using extract specs (SOD, EOD), and reports specs Client-1 Data Dictionary Client-2 Data Dictionary Client-3 Data Dictionary Client-4 Data Dictionary 2. Collection and Cleansing of reports for modularized services to create service specific data dictionaries: • Client 2 Operational reports which are not part of the current data dictionary: • Pricing • Reconciliation • Collateral • Fund Order Processing • OTC • Trade Processing • Asset Servicing (Corp Action (Voluntary and Mandatory), Proxy, Class Action) IBOR Data Standardization Implementation Framework
- 9. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 8 3. Creation of a database to consolidate multiple Client data dictionaries and related structure. 1. Creation and cleansing of CORE IBOR Client Data Dictionaries by using extract specs (SOD, EOD), and reports specs Client-1 Data Dictionary Client-2 Data Dictionary Client-3 Data Dictionary Client-4 Data Dictionary 2. Collection and Cleansing of reports for modularized services to create service specific data dictionaries: • Client 2 Operational reports which are not part of the current data dictionary: • Pricing • Reconciliation • Collateral • Fund Order Processing • OTC • Trade Processing • Asset Servicing (Corp Action (Voluntary and Mandatory), Proxy, Class Action) IBOR Data Standardization Continued…
- 10. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com Appendix – Data Dictionary Output
- 11. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 10 1. IBOR Data Dictionary that is divided into Core and Enhanced Core: Enhanced: IBOR Data Standardization Data Dictionary Outputs
- 12. Burak S. Arikan | 382 Webster Avenue, Jersey City NJ | +1 (201) 356-7058 | burak@burakarikan.com 11 2. Service Offering Specific Data Dictionary IBOR Data Standardization Continued…