FlightPlan, the trajectory module of Osmoze
An allocation decision takes days
to become a portfolio.
Those days are steered by hand.
FlightPlan produces the day-by-day order plan of a constrained rebalancing,
where every order carries the rule that produced it.
For portfolio managers, the CIO and the middle office.
The investment committee decides to move Technology from 5% to 8%. Twenty lines to touch, and the cash from the sales will only arrive on its settlement date: you cannot buy on the day you decide, you buy on the day you can. So the move is split, day after day, checking every evening that no constraint was breached along the way, because a breach on Tuesday costs as much as one on arrival. Then a large redemption lands when you were almost there, and everything has to be recomputed.
What four days ask of you, by hand
| Day | What happens | What it forces |
|---|---|---|
| Monday | The committee moves Technology from 5% to 8% | Sales have to be scheduled |
| Tuesday | The cash from the sales is not there yet | Buying is not possible yet |
| Wednesday | The sales settle | Buying starts |
| Thursday | A €6.8m redemption comes in | The plan resets on the day's positions |
Every line is an order to size, and a compliance check to run again. FlightPlan holds that calendar for you.
A target to hold at all times, a line to exit before month end, a ceiling never to cross, a sector conviction until further review: every instruction has its own lifetime and priority. FlightPlan holds them all together and derives the plan: for each security and each day, the quantity to trade, one net order per security. The size of each day accounts for the security's liquidity and volatility.
You steer the instructions. The order calculation follows.
The plan of a rebalancing over four sessions. A EUR 6.8m redemption lands: the plan realigns on the day's positions in under a minute, without undoing what has already been executed.
A representation of the screen, not a capture of a real portfolio.
Checked at every date of the journey
Limits per security and per issuer, cash floor, exclusion list: every rule checked at every date. Compliance is read before the first order, and each order carries the constraint that produced it, which can be read back in front of an audit months later.
Projected cash, date by date
Today's sales fund the day-after-tomorrow's purchases. The plan holds the settlement calendar and shows you projected cash session by session, before anything is sent.
You never start over
You add an instruction, you remove one; the plan restarts from the day's positions. Below the gain you set, nothing moves: it does not undo tomorrow what it did yesterday.
What each role gets out of it
| Who | Main benefit |
|---|---|
| Investment management | Execute an allocation without losing sight of the constraints along the way |
| Portfolio managers | Fewer manual recalculations, and orders that are prioritised |
| Risk and compliance | Check limits at every date, not only on arrival |
| Middle office | A dated plan, instead of a list of orders to piece back together |
| Data and IT | Connect to the systems in place, without replacing the PMS |
| Audit and internal control | Replay the plan and explain each order, months later |
Integration and deployment
Asset classes
Equities, bonds, funds and FX. The plan works in weights, and each net order carries its constraint.
Connected to what you already have
Already interfaced with SimCorp, NeoXam and Jump (ClearWater), with the flows of CACEIS and BNP Paribas Securities Services if your middle office is outsourced, and with in-house PMS: connectivity is an architectural property of the platform. Failing that, it reads the files your middle office already produces. Executions come back from your OMS: the plan realigns on what actually went through. Only the useful components are integrated, without redoing what works.
Nothing is written on your side
Not in your systems, not in routing, not in accounting. Unplugged, your chain runs exactly as before.
Hosting
European Union or on your own site. The portfolio manager works in Excel; the calculation stays on the server, traced and versioned.
Getting started
A one-month POC on your rules and your portfolios, one to two weeks of your middle office or portfolio managers' time, depending on scope. Production then widens to your other funds and goes through your acceptance testing: allow three to four months, on top of your own contractual and security process.
FlightPlan builds on the Osmoze platform
Osmoze brings together, in a single workstation, the data from all your sources and the actions that follow from it, from aggregated data through to order placement. Everything the portfolio manager sees on screen is computed on the server, traced and replayable. In production since 2012 at asset managers and insurance companies. That is the chain FlightPlan inherits: a single audit trail, from the rule through to the order.
Discover the Osmoze platformThirty minutes to watch the plan being built
On a complete rebalancing case: the instructions, the day-by-day plan, compliance at every date.
Request a sessioncontact@heavenize.com · +33 (0)9 72 35 50 50