Fund Administration
Fund Administration is a back-office service that handles the day-to-day operations of investment funds. Think of it like the behind-the-scenes management team that keeps investment funds running smoothly. This includes tasks like calculating how much each fund is worth, keeping track of who owns what shares, making sure all the paperwork is correct, and helping funds follow all the rules and regulations. It's similar to how an accountant keeps a business's books, but specifically for investment funds. Companies that provide these services are often called "fund administrators" or "third-party administrators."
Examples in Resumes
Managed daily operations for 20+ hedge funds as part of Fund Administration team
Led Fund Administration services for $2B worth of private equity funds
Supervised a team of 10 Fund Administration specialists handling mutual fund accounting
Coordinated with clients and auditors for Fund Administration and Fund Accounting services
Typical job title: "Fund Administrators"
Also try searching for:
Where to Find Fund Administrators
Professional Associations
Job Boards
Professional Networks
Example Interview Questions
Senior Level Questions
Q: How would you handle a situation where you discover a significant NAV calculation error that affects multiple clients?
Expected Answer: Should demonstrate crisis management skills, knowledge of correction procedures, client communication strategy, and regulatory reporting requirements. Should also discuss preventive measures for the future.
Q: How do you stay current with changing regulations in the fund administration industry?
Expected Answer: Should discuss various information sources, professional memberships, training programs, and how they implement regulatory changes in their team's processes.
Mid Level Questions
Q: Can you explain the process of calculating a fund's NAV?
Expected Answer: Should be able to explain how assets are valued, what factors affect pricing, how corporate actions are handled, and the importance of accuracy in calculations.
Q: How do you ensure accuracy in fund reporting?
Expected Answer: Should discuss review procedures, reconciliation processes, quality control measures, and the importance of maintaining audit trails.
Junior Level Questions
Q: What are the main responsibilities in fund administration?
Expected Answer: Should be able to list basic tasks like NAV calculation, investor reporting, maintaining shareholder records, and processing subscriptions and redemptions.
Q: What is the difference between a mutual fund and a hedge fund?
Expected Answer: Should demonstrate basic understanding of different fund types and how administration requirements vary between them.
Experience Level Indicators
Junior (0-2 years)
- Basic fund accounting principles
- NAV calculations
- Processing of trades and cash movements
- Shareholder record keeping
Mid (2-5 years)
- Complex fund structures understanding
- Client relationship management
- Team coordination
- Regulatory reporting
Senior (5+ years)
- Strategic process improvement
- Risk management
- Team leadership
- Client portfolio management
Red Flags to Watch For
- Limited understanding of basic financial terms
- No knowledge of fund accounting software
- Poor attention to detail
- Lack of understanding about regulatory requirements
- No experience with client communication
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