Reconciliation
Reconciliation is the process of comparing Point's Investment Book of Record against external sources (custodians, prime brokers, fund administrators) to identify and resolve discrepancies.
Why Reconciliation Matters
Even with automated data feeds, discrepancies can arise due to:
- Timing differences (trade date vs. settlement date)
- Corporate actions processed differently
- FX rate differences
- Data entry errors
- System outages causing missed updates
Regular reconciliation ensures Point's data remains the authoritative source of truth.
Reconciliation Types
Position Reconciliation
Compares the quantity of each security held in Point against the custodian's records.
Common breaks:
- Pending settlements not yet reflected in the custodian's records
- Corporate actions processed on different dates
- Securities transferred between accounts
Cash Reconciliation
Compares cash balances in Point against the custodian's cash statements.
Common breaks:
- Fees not yet processed
- Interest accruals
- Pending FX settlements
NAV Reconciliation
For fund portfolios, compares Point's calculated Net Asset Value against the fund administrator's official NAV.
Common breaks:
- Pricing differences (different price sources)
- Accrual differences
- Fee calculation differences
Running a Reconciliation
- Go to Data Quality → Reconciliation
- Select the Reconciliation Type
- Choose the Portfolio or Custodian
- Select the Date to reconcile as of
- Click Run Reconciliation
Point will compare its records against the latest data received from the external source and display any breaks.
Reviewing Breaks
The reconciliation results show:
| Column | Description |
|---|---|
| Security / Account | What is being compared |
| Point Value | Point's record |
| External Value | The custodian/external source's record |
| Difference | The discrepancy |
| Break Type | Missing in Point, Missing in External, Quantity Difference |
| Status | Open, Explained, Resolved |
Explaining a Break
If a break has a known, acceptable reason:
- Click on the break
- Click Add Explanation
- Select a reason from the dropdown (e.g., "Pending Settlement", "Timing Difference")
- Add any notes
- Click Save
Explained breaks are tracked separately from unexplained breaks.
Resolving a Break
Once the underlying data issue is fixed:
- Re-run the reconciliation
- If the break no longer appears, it is automatically marked as Resolved
- If it still appears, continue investigating
Reconciliation History
All reconciliation runs are stored for audit purposes. To view historical reconciliations:
- Go to Data Quality → Reconciliation
- Click History
- Select the date range and type
- Review past runs and their break counts