Hedge Fund, Fund of Funds & Managed Account Administration
Generally includes Accounting, Registrar & Transfer Agency, Anti-Money Laundering, Treasury and Audit Liaison services.
Accounting & Reporting Services
Maintaining the books of record (general and subsidiary accounting ledgers); reconciling cash and investment positions with the custodians; processing corporate actions; maintaining security master files; independently valuing the portfolio; calculating the Net Asset Value; calculating management and performance fees (including Equalization accounting: Series and Consolidation methods); preparing the financial statements periodically including: balance sheet; statement of profit or loss; statement of changes in equity or capital; and statement of net asset value of each share class and series of shares.
Registrar & Transfer Agency
Accepting subscriptions of new shareholders; processing redemption requests of the shares; communicating with the fund's shareholders; maintaining the Register of Shareholders in the fund; monitoring shareholder investment restrictions; recording all original issues or allotments of shares or interests, transfers and redemptions of such shares; issuing confirmations; calculating the net asset value of each class and series of shares (and the redemption price); preparing and publishing shareholder account statements, including the details of the changes, and ending value for such shareholder;
payment of redemptions; and monitoring ERISA.
Anti-Money Laundering Services
Performing for, and on behalf of, the Fund according to regulations including: United States/Cayman Islands Anti-Money Laundering Regulations; anti-money laundering procedures in relation to identification and verification of the investors in the fund; record keeping in relation to the verification of identity of investors and transactions effected; and internal controls and communication for the ongoing monitoring of investors in the fund.
Treasury Services
Participation in the processing of wire payments from the Fund's bank account(s). Authority is structured whereby KRFS and the Fund, typically represented by the investment manager or general partner, have co-authority over the bank account(s). The result is that neither party (KRFS nor the client) can instruct electronic payments without the other party. This segregation of duties over a Fund's bank account(s) is considered an industry standard and best practice.
Tax Compliance
Initial fund structuring aimed at minimizing overall tax exposure of the fund and its investors; tax due diligence services; federal, state and international tax reporting, including preparation of Forms K-1s and 1099s; partner tax allocations; obtaining and maintaining W-8BEN, W-9, and W-IMY forms, as appropriate; preparation of PFIC (passive foreign investment company); reporting FBAR (Report of Foreign Bank and Financial Accounts) nonresident state withholding requirements; annual/quarterly tax projections; responding to taxing authority inquiries; tax audit representation; cost segregation studies; facilitate the structuring of like-kind exchanges; and ongoing federal, state and international tax consulting services.
Audit Liaison
Coordinating and liaising with the Fund's independent auditors; preparing the year-end financial statements and accompanying footnotes.