The Vendor is required to provide portfolio verification and related investment accounting services and tools for the purpose of verifying investment accounting related data of the agency custodian bank, state street bank and trust company.
- All pension trust, insurance enterprise, nonexpendable trust, and agency funds are accounted for using the accrual basis of accounting under which revenues are recognized when they are earned and expenses are recognized when incurred.
- Security and position reconciliation: verify that all securities held in the fund's portfolio match those reported by the custodian.
• This includes ensuring that security identifiers (e.g., CUSIPS, ISINS), quantities, and descriptions are consistent between the internal records and the custodian’s data.
- Transaction reconciliation: reconcile all transactions, including trades, corporate actions, income, capital gains, and expenses, with custodian records to confirm that all transactions are accounted for accurately.
• This process will also include validation of trade settlement dates, trade prices, and transaction costs.
- Valuation verification: confirm the accuracy of each investment’s average cost and market values.
• This includes validating pricing from independent, external sources, verifying corporate actions (e.g., splits, mergers, dividends), and ensuring any adjustments to the portfolio (e.g., tax reclaims) are correctly reflected.
- Income and cash flow verification: reconcile income and ensure accruals and cash flows are accurately reported.
• This includes confirming the accurate posting of income from dividends, interest, and other sources, as well as reconciling any discrepancies in the cash balances.
- Automated verification reporting: generate independent and automated reconciliation reports that verify trading activity, investment costs, market values, accrued and received income, principal collections, corporate actions, incoming and outgoing wire transfers, etc. provide a detailed breakdown of discrepancies and resolutions.
- Discrepancy resolution: investigate and provide resolutions for any material discrepancies between the contractor’s records and the custodian’s records, providing clear documentation of the process.
- Contract Period/Term: 5 years
- Pre-Proposal Conference Date: April 8, 2025
- Questions/Inquires Deadline: April 30, 2025