UMB Integrates Temenos Multifonds for ETF Valuations

The technology suite is used to calculate both the net asset value and the value of ETF baskets. It is designed to consolidate fragmented, manual ETF systems into a single accounting and operations interface, mitigating reconciliation and latency issues.

“The Temenos partnership will allow us to offer the fund accounting portion of ETF servicing, which is a service we did not offer before,” says Maureen Quill, president of UMB Fund Services. “We look at things from a worldwide perspective, and having a global partner like Temenos is extremely beneficial in helping us accomplish our goal of being a one-stop-shop for our clients.”

The Temenos Multifonds platform includes ETF administration services, exception dashboards, tracking monitors and different reporting formats tailored to its client’s regulatory requirements.

Oded Weiss, managing director of Temenos Multifonds, explains that the partnership developed as part of UMB’s strategy to update its legacy systems and embrace automation. He says that although the technology is complex in the back end, it has simplified the process of investing in ETFs for UMB clients.

“Because we invested a lot in the automation, the ability to create those baskets, customize, monitor and process them is quite simple and it is because of the technology in the back,” he adds.

UMB Fund Services issued its first ETF products in mid-2015 and will continue to develop this part of this offering according to the needs of its current and future client base. Looking forward, Quill explains that the firm will also focus on other parts of the business, such as its closed-end interval funds and its registered fund-solution services.