Software Applications for Hedge Funds

Thompson & Associates currently publishes three turn-key applications designed to simplify hedge fund back office operations.

  • BMPA — Bloomberg Mapping & Pricing Application
  • TradeRECS — A trade reconciliation engine
  • PosRECS — A position reconciliation engine

The cost to license PosRECS, for up to three installations/users, starts at $3,000. Licenses for BMPA and TradeRECS, also for three installations/users start at $5,000 each.

bullet BMPA for Advent's Axys

Pricing your portfolio has never been easier or more cost effective. Our Bloomberg Mapping & Pricing Application, imports an Advent Axys position file using a custom Axys report that we provide. It maps the securities to Bloomberg understood parameters, connects to the BLOOMBERG PROFESSIONAL™ service via your established service link and prices the securities in your portfolio. BMPA then creates an Axys PRI file. Pricing a portfolio with one hundred positions can easily be accomplished in less than a minute -- start to finish.

The Bloomberg Professional service is the leading industry provider for real-time pricing data. It can arguably be said that pricing for more securities are available using Bloomberg than any other data provider. This is why we choose to integrate our Mapping & Pricing Application to The Bloomberg service first. If you are currently paying another service for pricing and you also have service from Bloomberg, then you should use BMPA to provide you with a Bloomberg/Axys pricing link.

NOTE: Bloomberg data is licensed separately. Please check with your Bloomberg sales representative about the required license(s) needed to use BMPA in your firm.

bullet TradeRECS

TradeRECS is a high performance, transaction reconciliation engine. TradeRECS is the software tool that gives your staff the ability to reconcile trades quickly, easily and with confidence. Management sets the matching rules, TradeRECS identifies the breaks and your staff spends their time correcting the exceptions and not finding them.

TradeRECS automates the reconciliation process between multiple sources - between in house software applications or your firm's books & records and your counter parties. Management decides what will be matching attributes and if there are to be any tolerances. For example, when reconciling equity trades, typically one might want to use the following matching attributes: security symbol (ticker, CUSIP, SEDOL etc.), quantity, unit net or trade price, commissions, fees, total net or gross amount, security type, trade type (buy, sell, short sell or cover short), fund, trade date, settlement date, location (custodial broker), and executing broker. In some cases, due to currency conversion for example, exact matches might be impossible. Rather than have back office personnel deal with small differences, management might set a tolerance rule for the total net amount.

TradeRECS tracks the open breaks. It is capable of handling C&Cs and breaks remain open until a correct C&C is processed or the trade is manually matched.

The TradeRECS engine is capable of importing data from many different sources. If the source for your data is currently not supported, we'll add the needed support.

bullet PosRECS

PosRECS is a high performance, position reconciliation engine. PosRECS is the software tool that gives your staff the ability to reconcile security positions quickly, easily and with confidence. Just as with TradeRECS, management sets the matching rules, PosRECS identifies the breaks and your staff spends their time correcting the exceptions and not finding them.

PosRECS automates the reconciliation process between multiple sources - between in house software applications or between you and your counter parties. As with TradeRECS, management decides what will be matching attributes and if there are to be any tolerances. For example, when reconciling equity positions, typically one would want to use the following matching attributes: security symbol (ticker, CUSIP, SEDOL etc.), quantity, security type, position type (long or short), fund and custodial location. In some cases, due to fractional shares, exact matches might be impossible. Rather than have back office personnel deal with fractional share breaks, management might set a tolerance rule for the quantity attribute.

The PosRECS engine is capable of importing data from many different sources. If the source for your data is currently not supported, we'll add the needed support.


Our sister firm, Pine Grove Software, LLC, publishes four financial software programs that accountants are often interested in reviewing.