Composer allows a unit holder to invest in an unlimited number of products and can provide a consolidated view of the investor's portfolio through a variety of enquiry and reporting functions. This is based on the underlying capability to define sophisticated multi level product structures in Composer. The definition of a "product" is based on a four- tier structure consisting of a Fund, Sub Fund, Product and Portfolio. Each level supports an unlimited number of choices in the underlying level. So for example, an unlimited number of Portfolio's (or investment options) may exist within a single product. This is commonly found in Fund of Fund and Wrap products. An Investor operates an account per product, therefore allowing a single investor (or registry record) to have accounts representing investments in an unlimited number of Retirement Savings and/or Investment products. The key features to note about this structure are:
Each portfolio (investment option) may be linked to an underlying asset and different portfolios in different products may be linked to the same underlying asset. As a result, a managed fund or an equity investment option may be set up as different portfolios within different products and be linked to the same underlying asset. This allows a consolidated view of investor holdings in an asset. This is very powerful functionality that is essential in configuring sophisticated retail products such as Wraps and Master Trusts and in providing aggregated orders and confirmations to custodians. The Sub Fund level is a method of categorizing funds. Fund Managers and service providers successfully use this capability to provide administration services for other funds. The Sub Fund level is ideal for supporting White Labelled products as it allows different correspondence and reporting templates to be established for each sub fund that has been established. As a service provider it is possible to provide segregated reporting for many clients off a single database. Business rules and fees can be specified at all levels of the structure and for all parties or for a specific party (i.e. Employer, Adviser, Client, etc.). Transactions are stored at the lowest level of the structure (Portfolio or investment option).
