COMBINED FUNDS MANAGEMENT

Computrol's transfer agency system, Combined Funds Management, performs all processing and reporting to insure total control over transactions from setup through closing. CFM integrates fund and non-fund products into one application. Using Computrol's eBASE® platform, CFM provides web delivery for a variety of channels and can connect to web browsers, fund networks, PC’s, interactive voice systems, ATM's, call centers or other data delivery systems.

Comprehensive Shareholder Accounting

As true of a flexible transfer agency system, Computrol's transfer agency system processes all of a fund shareholder’s investment products. It supports both non-retirement and individual retirement plan accounts such as IRA, SEPP, SIMPLE, Keogh, 401(k), 403(b) and Roth accounts. It tracks transactions and other information to support regulatory reporting. It also calculates and reports withholding, minimum distribution requirements, contribution limits, penalties and other processing unique to retirement plans. Computrol's transfer agency system produces a full set of system balancing reports including a complete summary of all activity and position for each mutual fund.

System Features

Mutual fund investments are denominated in shares rather than dollars. Each day the market is open for business, the fund manager establishes the NAV or price for an equity fund and the income per share for a daily fund. Fund transactions can settle immediately or use the standard ‘T + 3' settlement process.   Transactions can also be subject to load calculations or commissions.

Combined Funds Management provides the latest product features and functionality required to successfully market and process retirement and non-retirement plans existing and future customers. Computrol's transfer agency system handles all of the following shareholder accounting functions:

Purchases	Income distribution
Sales	Income reclassification
Adjustments	Market value inquiry
Pricing	Prospect processing
Allocation modeling	Group processing
Multiple currency support	Automatic investment plan
Balance sweeps	Systematic withdrawals
Multiple language support	Check processing/reconciling
Tax reporting	Withholding
PC and web connectivity	Customer relationships

Third Party Instruments

Combined Funds Management handles third party instruments in multiple ways. It can accept the transaction activity directly to Computrol's transfer agency system and forward the transactions by interface to the third party system. It can accept and post the activity by receiving it through an interface from the third party. In both cases Computrol's transfer agency system maintains full shareholder accounting in parallel with the third party system. CFM can also accept and record a reconciliation position interface at periodic points.

Parameter-Driven Flexibility

Computrol's transfer agency system is multi-fund, multi-branch, multi-department with the flexibility to allow each department to tailor the system to its needs. The processing, calculations, and transaction processing functions are all parameter controlled. This means only the parameter values are changed to change the way the system performs. Individual products may be defined for each account type or generic products for all account types.

Parameters define characteristics such as calculation methods, service charges, new account values, terms, time frames, penalties, fees, fund pricing, exchange rates, etc. This flexibility not only meets current needs but dramatically reduces future merger and acquisition efforts and speeds up time to market for new products.

Ad hoc reporting and shareholder correspondence are controlled by user-defined parameters. The user can quickly and easily create reports for one-time use or catalog them to print on a regularly scheduled basis. Confirmations, marketing letters and mailing labels can be totally customized with unique text and data extracted from the application files. Combined Funds Management pages, notices, statements and online help can be generated in multiple languages.

Shareholder Records

Computrol's transfer agency system includes records for the account, beneficiaries of the account, alternate mailing addresses and group account records. The account summarizes the current position for all customer investments on one page with easy transfer to investment detail for shareholder service.

Beneficiary records record the legal beneficiary of the account in case of death. Alternate name and address records are used to send information to alternate addresses or to pay checks to different names or addresses.

Periodic deposits by shareholders can be automatically allocated among specific investment products in accordance with each shareholder’s individual portfolio allocation model. Accounts may belong to a group, such as an investment advisor or a payroll group, where group investment deposits to Computrol's transfer agency system are allocated among group participants based on investment allocation models contained within the individual’s record in Combined Funds Management.

Retirement Account Features

CFM supports all individual retirement account processing, edits, calculations and regulatory reporting. Computrol's transfer agency system allows all IRA instruments to be defined under one shareholder relationship, regardless of type of investment or where processed. Beneficiary and employer information are also available. Computrol's transfer agency system has full distribution processing support.

Instrument Features

Combined Funds Management features which apply to all types of investments:

Holds	Pre-authorized drafts
Fees	Automatic investment plans
Withholding	Systematic withdrawal plans
Income payment options	Balance sweeps
Automatic closing of investments	Corrections
Third party instruments	Ticklers
Exchanges	Reject control
Plan consolidation	Investment models
Account level transactions

Term Deposits and Savings Features

Certificates of deposit, guaranteed investment certificates and savings instruments include a wide variety of product features. By defining various interest methods, maturity and renewal terms, redemption options, sweep options, disbursement methods, penalties and fees, a fund may offer virtually any interest-bearing instrument or account. Each product can define the features independently.

Deposit features which can be individually defined to tailor product offerings include:

Interest calculation methods

Interest rates

Interest terms

Disbursement schedules

Penalty options

Maturity options

Canadian Version of Transfer Agency System

Computrol’s transfer agency system is also available in a Canadian version which performs all of the mutual fund processing described above and also has comprehensive processing to handle specific Canadian processing requirements such as:

RRSP functionality

RRIF functionality

Foreign content processing

RESP or other savings programs

GIC and DISA processing

Federal and provincial taxes

Resident and non-resident withholding

GST, PST and HST taxes

Cheque processing and reconcilement

Multiple language support

Multiple currency support

More Information

For additional information regarding Computrol’s Combined Funds Management system, contact Computrol.

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