Data processing system and method for hub and spoke...

G - Physics – 06 – F

Patent

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G06F 15/30 (1990.01)

Patent

CA 2072904

ABSTRACT OF THE DISCLOSURE A data processing system and method are provided for monitoring and recording the information flow and data, and making all calculations, necessary for maintaining a partnership portfolio and partner fund (Hub and Spoke) financial services configuration. In particular, the data processing system and method make a daily allocation of assets of two or more funds (Spokes) that are invested in a portfolio (Hub). The data processing system and method determine the percentage share (allocation ratio) that each fund has in the portfolio, while taking into consideration daily changes both in the value of the portfolio's investment securities and in the amount of each fund's assets. The system and method also calculate each fund's total investments based on the concept of a book capital account, which enables determination of a true asset value of each fund and accurate calculation of allocation ratios between the funds. The data processing system and method also track all the relevant data, determined on a daily basis for the portfolio and each fund, so that aggregate year-end data can be determined for accounting and for tax purposes for the portfolio and for each fund.

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