SERVICES
Trade operations connected from execution record to settlement outcome.
Capture, enrich, match, monitor and evidence post-trade activity across brokers, custodians and internal systems.
Overview
Trade operations is the post-execution processing needed to turn an investment decision into an accurate operational record and completed settlement. It commonly includes trade capture, enrichment, matching/affirmation, provider instruction, lifecycle-event setup, status monitoring and exception resolution.
This is a core hedge-fund and traditional asset-manager middle-office function and is also relevant to liquid credit, derivatives and multi-asset portfolios.
Why it matters
A trade can be economically correct but operationally fail because identifiers, allocations, settlement details or counterparty records differ. Multiple brokers and custodians make manual follow-up difficult to scale.
Common operating challenges
- Trades missing from one book or provider.
- Incorrect or incomplete settlement/static data.
- Unmatched confirmations or late affirmations.
- Manual broker/custodian chasing.
- No consolidated queue for failed or at-risk trades.
What we deliver
| Capability | What it covers |
|---|---|
| Trade capture | Ingest and normalise executed trades. |
| Enrichment | Apply approved security, account and settlement data. |
| Matching / affirmation support | Compare manager and counterparty/provider records. |
| Instruction support | Prepare or coordinate custodian/provider instructions where in scope. |
| Settlement monitoring | Track expected settlement and status. |
| Exception management | Assign and escalate unmatched, late or failed trades. |
Our role can be configured around a defined operating mandate: a recurring managed service, a technology-enabled client workflow, or a co-sourced model in which execution and review are split between Kelton, the client and appointed providers.
Inputs, workflow and outputs
Typical inputs
- OMS/PMS trade blotter
- Broker confirms / allocations
- Custodian settlement status
- Security master
- SSI and account data
- Clearing/settlement messages
Controlled workflow
| Step | Activity | What happens |
|---|---|---|
| 1 | Capture | Receive trade from approved execution source. |
| 2 | Enrich | Validate instrument, account, allocation and settlement data. |
| 3 | Match | Compare with broker/counterparty records. |
| 4 | Instruct / hand off | Send authorised details to appointed provider. |
| 5 | Monitor | Track settlement and lifecycle status. |
| 6 | Resolve | Escalate breaks and retain closure evidence. |
Typical outputs
- Trade-status dashboard
- Unmatched-trade queue
- At-risk / failed settlement report
- Provider instruction evidence
- Daily post-trade control pack
Controls and review
The workflow is designed so that automation does not obscure responsibility. Routine processing can be standardised; exceptions, material judgements and formal approvals remain visible and attributable.
- Trade-population completeness.
- Approved security-master / SSI changes.
- Settlement-date and cut-off monitoring.
- Segregation from securities execution.
- Exception ownership, materiality and ageing.
Responsibility boundary
We support post-trade operations and coordination. It does not execute securities, act as broker/custodian or assume formal settlement obligations of appointed institutions.
Technology & expertise
Our operating model combines specialist knowledge with controlled technology. Domain experts define the rules, review logic and exception criteria; the technology layer makes the workflow repeatable, traceable and scalable.
Technology
- OMS/PMS and provider connectors.
- Matching and normalisation rules.
- Reference-data / SSI controls.
- Status/event queues and alerts.
- Exception ageing and root-cause analytics.
Expertise
- Post-trade lifecycle knowledge.
- Multi-asset settlement conventions.
- Prime-broker/custodian interfaces.
- High-volume exception management.
Expert knowledge is converted into controlled rules, SOPs, checklists, validation tests and exception criteria so that the operating standard is embedded in the workflow rather than dependent on one individual.
Delivery models
| Model | How it works |
|---|---|
| Managed Operations | We execute the agreed recurring workflow. Client and appointed-provider approvals remain explicit. |
| Technology Enablement | We implement the data, workflow and control layer for the client team to operate. |
| Hybrid / Co-sourced | Execution and review are shared through a documented responsibility and escalation model. |
| Transition & Implementation | We mobilise the workflow during a launch, provider change or target-operating-model transition. |
Frequently asked questions
Is trade operations the same as trade execution?
No. This service handles operational processing around and after execution; investment/trading authority remains elsewhere.
Can middle-office outsourcing be selective?
Yes. Mature providers increasingly offer modular outsourcing, which fits Kelton’s co-sourced model.
Which clients need this most?
Hedge funds, asset managers and active credit/multi-asset strategies.
Discuss Trade Operations
Start with one workflow, one operating issue or one provider transition. We will map the current process, responsibility boundaries, required data and a practical first engagement.