Setting up a fund: A checklist

A fund marshalls a set of components that together enable LUSID to generate financial reports.

Recommended reading: Preparing a fund for launch

The components that comprise a fund are currently as follows:

Step 1: Set up an ABOR

You must set up a complete ABOR as a prerequisite for a fund. Note a fund and its ABOR have a unique relationship; no other fund can reference the same ABOR.

Step 2: Create a fund configuration module

You must create a fund configuration module specifying fund unitisation rules by identifying general ledger accounts in the underlying ABOR responsible for recording activity such as dealing and P&L.

Step 3: Optionally, create share class instruments to add to the fund

If you want to ringfence investors in the fund you must pre-master share classes as instruments in the LUSID Security Master.

Step 4: Create the fund itself

When you create a fund you must reference an ABOR, a fund configuration module, and any share class instruments.

Step 5: Optionally, add fees to the fund

LUSID calculates fund NAV as GAV minus fees. You can add as many fixed or variable fees as you like to a fund, with different calculation bases.

Step 6: Generate a GAV and NAV for the fund

You can generate an ad-hoc fund valuation at any time but note publishing an official fund valuation is a process with checks and balances.