Middle Office. The Middle Office provides a significant level of control and monitoring of the Front Office’s activities and, therefore, is independent of the Front Office, reporting to the Chief Risk Officer. The Middle Office function includes assuring data integrity through deal validation and executing the risk monitoring requirements authorized by the RMC. The important control areas and responsibilities include the following:
A. Collecting market data (prices, volatilities, interest rates, etc.) from independent sources for xxxx-to-market assessment;
B. Validating and modeling forward curves for all commodity exposures (market analysis);
C. Ensuring that the transactions in the Company’s Trading and Risk Management System(s) accurately reflect each day’s activity by performing daily check out with the daily transaction summary from Supply / Trading and Marketing personnel and broker statements;
D. Calculating xxxx-to-market and VaR on a daily basis;
E. Monitoring compliance with risk limits;
F. Reporting suspected violations of the Company’s Risk Management and Control Documents to the Chief Risk Officer;
G. Identifying weaknesses and opportunities for enhancement in the control environment, developing solutions and implementing strategies;
H. Managing the reporting of results by “book” structure to accomplish both Front and Back Office objectives;
I. Producing and distributing reports on a daily basis showing net positions;
J. Reporting the realized and unrealized (forward xxxx-to-market) P&L of executed transactions on a daily, month-to-date, and year-to-date basis; and
K. Working with Accounting to ensure understanding of any differences in P&L reported by Risk and Accounting results; A strong segregation of duties must exist between Trading/Marketing and Middle Office activities. The activities of the Middle Office do not replace the traders’ and marketers’ primary responsibility for assessing the risks associated with their positions and the timely and accurate recording of all transactions with written confirmations and/or on recorded phone lines in accordance with the Company’s Contract Administration and Confirmations procedures. Privileged and Confidential - 12/5/2011
Middle Office. The Middle Office provides a significant level of control and monitoring of the Front Office’s activities and, therefore, is independent of the Front Office, reporting to the Chief Risk Officer. The Middle Office function includes assuring data integrity through deal validation and executing the risk monitoring requirements authorized by the RMC. The important control areas and responsibilities include the following:
Middle Office. Reference: Jewel
Middle Office i. Ability to interface with internal DFA systems and with Citi, our middle office service provider, to support an integrated account onboarding process, including SOAP or MQ messaging.
ii. Ability to transmit data electronically to Dimensional and Citi, our middle office service provider, for client reporting, daily cash calculations for trading, and other business needs on an intraday, end of day, quarterly, and monthly basis via a variety of communication protocols (flat file, XML, etc.). Sensitivity: Privileged & Confidential
iii. Information sharing on client and portfolio/vehicle data with Citi, DFA’s Middle Office service provider and other contracted service providers as required, to provide Dimensional with complete use of data and meaningful transparency
iv. Provide access to the necessary resources to redirect data/traffic and/or systems to the backup systems should the Client claim a disaster or outage
v. Notify the Client of any planned maintenance, or downtime at least one week in advanced, as mutually agreed. (Emergency downtime requests will be accommodated upon mutual agreement.)
Middle Office. A. Collecting market data (prices, volatilities, interest rates, etc.) from independent sources for xxxx-to-market assessment;
B. Validating and modeling forward curves for all commodity exposures (market analysis);
C. Ensuring that the transactions in the Company’s Trading and Risk Management System(s) accurately reflect each day’s activity by performing daily check out with the daily transaction summary from Supply / Trading and Marketing personnel and broker statements;
D. Calculating xxxx-to-market and VaR on a daily basis;
E. Monitoring compliance with risk limits;
F. Reporting suspected violations of the Company’s Risk Management and Control Documents to the Chief Risk Officer;
G. Identifying weaknesses and opportunities for enhancement in the control environment, developing solutions and implementing strategies;
H. Managing the reporting of results by “book” structure to accomplish both Front and Back Office objectives;
I. Producing and distributing reports on a daily basis showing net positions;
J. Reporting the realized and unrealized (forward xxxx-to-market) P&L of executed transactions on a daily, month-to-date, and year-to-date basis; and
K. Working with Accounting to ensure understanding of any differences in P&L reported by Risk and Accounting results; Xxxxxxx Operating Resources LLC Risk Management Policy Contract Administration has primary responsibility for the administration and maintenance of contracts and agreements related to the trading of all approved commodities. These contracts and agreements include: (i) Master Agreements, (ii) Confirmations based upon such Master Agreements, (iii) Stand-alone Agreements, (iv) One-off Agreements, (v) ISDA Master Agreements for financial derivatives, (vi) Confirmations based upon such ISDA Master Agreements, and (vii) ISDA Long Form Confirmation Agreements for financial derivatives. Additionally, Contract Administration is responsible for the development, negotiation as appropriate, administration and maintenance of other Company contracts and agreements including, but not necessarily limited to, (i) Throughput and or Exchange Agreements, (ii) Electronic Trading Platform Agreements, (iii) Natural Gas Transportation and Storage Agreements, (iv) Assignment and Assumption Agreements, and (v) Other contracts and agreements needed and requested by various Front Office departments. Contracts Administration will work in conjunction with the Legal Department to ensure the contracts conform to all Xxxxxxx r...
Middle Office. (At least 2 users) 1.2.1)
