We need to ensure that Exchange data is correctly mapping through from the security file into FundWare. This check should be performed on a monthly basis.

It has a particular importance for AIFMD Reporting and, therefore, needs also done as part of the AIFMD preparation process.

Please follow the below steps:

• Download the AIFMD Holdings Export Report for the AIFMD funds on your list of expecting funds. Run for all assets for the period end date – 31 March, 30 June, September, or 31 December.
• Insert a column beside Instrument Exchange Short Name. Call this “From Security Data”.
• Open your client’s security file for the relevant period end date. (For clients that use IDS data you will need to use the FTSSec file. For clients that use NT data you will need to use the NT security data).
• Do a VLOOKUP in the holding export report to bring in the Exchange Code from the security file against the holdings, following the below steps:For FTS data, the exchange information is in columns 31 & 32 – IDC Subset 1 MIC & IDC Subset 10 MIC. The mapping for the FTS security file is such that the exchange information will initially come from the column IDC Subset 1 MIC. However, if there is no exchange information available within this column, the data mapping will then take the exchange information from the column IDC Subset 10.

  VLOOKUP steps:

• Filter in the holding export report where Instrument Exchange short name (the column that shows what exchange FundWare has recorded against the security) is Blank, None, Unknown or OTC.
• Filter out anything coming through as N/A or Blank in your VLOOKUP column “From Security Data” (to remove anything that is not in the security file e.g. derivatives, cash). This will then show all instruments where the exchange is not populated in FundWare but where it should be. For derivatives you will need to review the Derivative Exchange Name column within the holding report.
• Identify these and raise for resolution. This needs to be resolved by ensuring that the market section mapping is correctly in place. This can be worked through with a Team Lead once identified. Please do not make changes – just highlight where wrong, save down the report and raise for resolution with a Manager.
• In order to fix any discrepancies you will need to raise a ticket in the Internal Projects Support ZOHO, stating the environment the issue is appearing on, the exchange name that needs corrected, the MIC code, exchange section name, and the exchange section code that should be assigned.
• In the FTS security, the market section is taken from the column called “Exchange Section Code”. This exchange section code will have either a 2-digit or 3-digit code, and this exchange section code will correspond to a specific exchange section.
• As you can see from the above screenshots, the instrument exchange of XDUB has an exchange section (market section) of Global Exchange Market (GEM) applied to it, with a corresponding exchange section code of 17 applied to it. If in FundWare, the exchange section code does not match the exchange section code within the FTS security data, then the exchange information will not populate in FundWare.
• For the exchange information to populate against an instrument you must ensure that:
  a. The exchange code under the IDC subset 1 and IDC subset 10 column must match the exchange name in FundWare.
  b. The market section and section code applied to the instrument must be populated within the exchange master
• There could also be a scenario whereby the instrument exchange name in a FundWare holding export report does not match the instrument exchange in the security data.
• In the below example, we can see that exchange populating within the holding report is appearing as XNMS (instrument exchange short name column), however within the security data that has been uploaded, the exchange information that should appear in the holding report is XNAS (security data exchange).
• As the exchange XNMS is populating within a holding report, this suggests a couple of things.
  a. The security data has previously been uploaded to FundWare with an instrument exchange of XNMS
  b. The instrument could have the exchange manually set to be XNMS – this could have been done at the clients’ request (we may not have previously received any exchange information within the security data for this instrument)
• For an instrument multiple exchanges can be applied to it, however the exchange that has the highest price priority will be displayed within a holding export report.
• In the above example, the exchange of XNMS has a price priority of 99, and XNAS has a price priority of 169, so as a result XNMS is displayed in a holding report.
• For the correct exchange to be displayed within the holding report, the analyst must manually remove the incorrect exchange from the instrument master.
• After all changes have been made and approved, the analyst must reperform the check to ensure that all changes have been applied.