Investment guideline monitoring where you work every overnight alert with the agents: recomputed, cited, and approved by a person in one click
Of 412 overnight alerts, 9 reach a person, and every close cites its clause and approver.
See one case, screen by screen ↓Investment guideline monitoring, also called investment compliance monitoring or post-trade compliance monitoring, is the daily work of testing every mandate and fund against the limits in its investment management agreement, prospectus or side letter, then investigating each alert, confirming real breaches, curing them and notifying the client. Investment Guideline Monitoring puts seven agents on that queue: they recompute each alert from the custodian position and the exact clause, check every input against a second source and draft cures and notices, while analysts classify and the Head of Investment Compliance approves.
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Investment guideline monitoring starts every night, when the compliance engine re-runs its post-trade compliance checks on every mandate and fund against its coded rules and hands the investment compliance team an alert queue. Most alerts are not breaches: a stale price, one agency's downgrade that the client agreement does not count, a sector code a vendor changed overnight, a corporate action not yet booked, a soft warning inside the band. Analysts still open each one, re-perform the test by hand against the custodian file and the agreement PDF, and a second reviewer re-performs every potential active breach again.
Real breaches are confirmed late, cures are planned on spreadsheets, and client letters are written from scratch while the notice clock in the IMA runs. The rule that fired is often coded differently from the agreement it came from, so the same false alert comes back tomorrow. France's AMF inspected five managers and found that breaches are detected automatically but “the investigation of these breaches remains a manual activity”, and the SEC's 2026 examination priorities say examiners are looking for evidence that policies are not only written but effectively enforced and tested in practice.
Estimated split for one analyst on an ordinary day, by hand and with the solution.
Seven agents recompute, re-source, cure and draft every alert; the analyst classifies and the Head of Investment Compliance approves.
Quillfield Capital monitors 618 mandates and funds, $705.4B, against 14,820 coded rules. On Monday, October 19, 2026, the overnight run, on positions as of Friday's close, raised 412 alerts: 389 post-trade and 23 pre-trade overrides. Here is what happens next, screen by screen, in the working solution.
Dana's home shows three numbers: 9 need a person, 403 proposed closes in 7 reason groups, 5 open breaches. Beside the nine is how the agents spent the night, 06:02 to 07:38 ET: the Intake agent linked 97 repeats, the Triage agent recomputed 315 alerts from custodian positions and their clauses, and the Data Check agent re-sourced 141 prices, ratings, sectors and corporate actions. A banner notes classification vendor B arrived 22 minutes late; 29 sector checks were re-run and no result changed.
“5 items wait for your approval before 12:00 ET. Start with Calder Basin Pension: the agents say the Velmora Telecom downgrade is not a breach under section 4.2.”
Calder Basin Pension is a $4.82B Core Plus Fixed Income mandate with 27 coded rules, run by PM Janet Morrow. The wall shows its 12 key limits as thermometers, recomputed from the custodian file at 06:21 ET: single issuer 2.40% of 3.0%, securitized 29.50% of 35.0%, cash 2.30% against a 1.0% minimum. One tube carries a red cap: the credit floor BBB−, at 0.96% against a 0.0% maximum. The rail beside it shows the day's fold: 412 raw alerts, minus 97 repeats, 141 bad or late inputs, 118 soft warnings and 47 the agreement rules out, leaves 9.
“Showing 12 key limits of 27. The other 15 are below 60% of their limits.”
Agency C cut Velmora Telecom 4.875% 2033 to BB+ on Friday at 17:42 ET, and the engine's floor rule fired. In the conversation, the Triage agent recomputes from the custodian file: $46.3M par, 0.96% of the mandate, and notes the engine codes the floor on the lowest of three ratings. The Agreement agent reads IMA Schedule B section 4.2: the applicable rating is the second-highest of the three. The Data Check agent confirms the ratings from a second vendor: Agency A BBB−, Agency B Baa3, Agency C BB+. The proposal is not a breach, with 97% confidence.
IMA Schedule B §4.2, p. 14: “the applicable rating shall be the second-highest of the three ratings”
Tomás Reyes classified the alert at 07:52 with the reason code “Clause read: rating method”. Dana reads the thread, checks the ratings table and approves the close. The decision records her name, the time, the reason and the evidence, and the nine becomes eight. The Triage agent has also drafted a rule fix: 23 mandates code this floor on the lowest rating while their agreements use the middle one.
“Closed AL-104127 — not a breach · clause cited · approved by Dana Okafor”
Harlow County Employees' Retirement Fund must hold at least 1.0% cash. The Triage agent reads the guidelines as measuring cash as reported by the custodian: $3.40M, 0.62%, below the minimum. The Data Check agent disagrees: section 3.5 values unsettled FX on trade date in the manager's accounting, and with a $3.78M EUR/USD spot sale settling that day, cash is 1.31%. No close is proposed. The alert goes to Tomás to classify, and a different person approves.
“We read the agreement differently, so I have not proposed a close. Escalated to a person.”
The rest of the queue waits in seven reason groups, each alert cited: 97 repeats of an open alert, 38 stale or wrong prices, 52 rating feed mismatches where the clause method still passes, 29 sector code changes, 22 corporate actions not yet booked, 118 soft warnings inside the warning band and 47 the agreement says are not a breach. An analyst opens five alerts in a group before confirming it, and can exclude any one; a different person approves the group.
Spot-check rule: open 5 alerts before confirming a group. No one approves their own classification.
Ostrander State Teachers' Retirement System is a $1.17B Global Credit mandate run by Marcus Hale. Order ORD-77812 on Oct 16 bought $9.0M par of Harrow Peak Energy Finance 7.25% 2031. The security master had no link to the guarantor parent, so the pre-trade check passed. Aggregated as IMA section 5.1(b) requires, $54.0M of parent bonds and $9.4M of the 2031s make $63.4M, 5.42% against a 5.00% cap. Tomás classified it an active breach at 07:58, and the breach register opened BR-2026-0042 with the client notice due Oct 21.
The Cure Planner tests three options against all 31 rules, keeping a 0.15% buffer. Option A sells $6.7M par of the 2031s, bought at 101.25 and bid at 100.40, taking the issuer to 4.85% and tripping no other rule, for an estimated make-whole under IMA section 9.4 of $59,050. Option B sells the 2029s at a larger cost, $71,400; option C trips the minimum lot rule. The plan goes to Marcus Hale, who confirms the trade, and the order goes to the order management system as ORD-77955.
The Cure Planner never sends an order: the PM confirms the trade, and the cure is verified by a re-test.
The Notice agent drafts the letter to Harold Pruitt, Deputy Chief Investment Officer, under IMA section 9.3: written notice within two business days. It sets out what happened, why the pre-trade check did not aggregate the two issuers, the corrective sale and the restoration under section 9.4, each statement cited to the record. Dana approves it; Sofia sends it through the CRM.
“Aggregated as section 5.1(b) requires, the issuer represented 5.42% of the Account's market value, above the 5.00% limit.”
Kitami Prefectural Mutual Aid Association's guidelines are in Japanese. Its IT sector reached 35.8% against 35%, after the sector rose 4.1% with no IT purchases, so the breach is passive. The Agreement agent shows page 6 of the original beside its English reading, sentence by sentence: Article 7(2) requires a prompt report and correction within 10 business days. The notice is drafted in 日本語 and English, with the cure due Nov 2.
Article 7(2): “the Manager shall promptly report to the Client and correct it within 10 business days.”
The same overnight queue, seen by five of the people who work it — what their morning looked like, and what it looks like now.
Seven agents recompute, re-source, cure and draft every alert; the analyst classifies and the Head of Investment Compliance approves.
Pulls the overnight post-trade alerts from the compliance engine and the pre-trade overrides from the order management system, links repeats to their open twin and groups the rest by root cause.
Recomputes each alert from the custodian position and the exact clause, and proposes a tag and a classification with citations.
Re-sources each price, rating, sector and revenue figure from a second source — two pricing, rating and classification vendors, issuer filings and the security master — and flags disagreement.
Finds the governing clause in the IMA, prospectus or side letter, reads it in its own language and gives the English reading side by side, page-cited.
Proposes the smallest sale list that cures a breach without tripping another rule of the mandate, and estimates the make-whole.
Drafts client, board and depositary notices from the breach record, every sentence cited, in the client's language.
Runs the clocks — disposition by 12:00 ET, PM action within 1 business day, weekly passive follow-up, notice deadlines — and escalates to named people.
Approves every close. The agents propose; a named person decides.
Ask on the home page, on the limit wall or inside an alert. The agents answer with the clause and the data behind it, and take you to the screen.
Why is the Velmora Telecom alert not a breach?
Calder Basin Pension holds $46.3M par of Velmora Telecom 4.875% 2033 (0.96%). Agency C cut it to BB+; Agencies A and B still rate it BBB− and Baa3, confirmed by two vendors. Schedule B section 4.2 uses the second-highest of three ratings — BBB−, at the floor. Not a breach. Tomás Reyes classified it; it is waiting for your approval.
Which mandates hold Harrow Peak Energy, and how close to their caps?
Four mandates hold Harrow Peak Energy (parent-aggregated). Only Ostrander State Teachers' Retirement System is over: 5.42% vs 5.00%. Quillfield Global High Yield Fund 1.9% of 3%; Pennant Teachers' Pension Fund 2.6% of 5%; Kestwick Mutual Insurance 1.1% of 2%. The security master lacks the guarantor link; a fix is proposed in Reports.
Draft the Kitami report in Japanese and English
The guidelines (Japanese original) require a prompt report and correction within 10 business days. The draft states the cause — the IT sector rose 4.1% with no purchases by us — and the cure by Nov 2. It is ready in 日本語 and English for your approval.
Which rules made the most false alerts this month?
Top three by false alerts in October: credit floor coded on the lowest rating — 61 alerts in 23 mandates; sector remaps from classification vendor A — 41; cash measured before FX settlement — 22. Each has a drafted rule fix for the rule-coding team and the CCO.
13 screens from the working solution, on its sample data. Pick one to see it large.
The controls the agents work inside. The Compliance Systems Administrator edits them; saving creates a change request, and nothing changes until the CCO approves.
| Setting | Default | Choose from |
|---|---|---|
| Propose a close at confidence of at least | 90% | Below it, the alert goes to a person |
| Warning band starts at | 90% of limit | Values in the band are logged as soft warnings, not breaches |
| Disposition due by | 12:00 ET same day | Breach confirmation by 17:00 ET same day |
| Active breach: PM action within | 1 business day, then CIO | The SLA Watch agent escalates to named people |
| Passive breach: follow-up every | 7 days | Cure within 15 business days unless the agreement says otherwise |
| Client notice, if the agreement is silent | 2 business days | The agreement's own notice clause wins |
| Spot-check before confirming a group | 5 alerts | Per reason group, before an analyst confirms |
| Data residency and retention | US East · EU West · Singapore; 7 years | Retention beyond the 5 years of SEC Rule 204-2 |
Every figure is labelled: a target the solution is built to, an estimate, a typical published result, or a proven one.
“demo” = seen in the working solution, on its sample data · “target” = the design goal, measured in the live solution · “estimated” = our estimate · “typical” = published figures (SEC press release 2025-55, March 17, 2025 — a registered fund's 25% single-industry concentration limit broken from November 2021 to June 2024, about $1.6 million of losses; AMF thematic inspections of five managers' monitoring of fund investment ratios, February 19, 2025 — 20 to 800 breaches a year, passive breaches four times as frequent as active ones). Also cited: SEC 2026 examination priorities (Dorsey, December 2025); CSSF Circular 24/856 and its FAQ of December 24, 2024; SEC Rule 38a-1 adopting release IC-26299. People, firms, mandates and securities named on this page are fictional — characters and sample data in the working solution.
Investment guideline monitoring, also called investment compliance monitoring or post-trade compliance monitoring, is the daily work of testing every mandate and fund against the limits in its investment management agreement, prospectus or side letter, then investigating each alert, confirming real breaches, curing them and notifying the client. Investment Guideline Monitoring puts seven agents on that queue: they recompute each alert from the custodian position and the exact clause, check every input against a second source and draft cures and notices, while analysts classify and the Head of Investment Compliance approves.
An active breach is caused by the manager, such as a purchase; in the working solution it is cured as soon as possible, the PM must act within one business day before escalation to the CIO, and the client is restored for any loss. A passive breach comes from market movement or redemptions; it gets weekly follow-up and a cure within 15 business days unless the agreement says otherwise. The analyst classifies each one with a reason code and the Head of Investment Compliance approves. For a UCITS fund under CSSF Circular 24/856, in force since January 1, 2025, active breaches are notified to the CSSF and remedied without delay, while a passive breach is not notified but corrected within a reasonable period in investors' interest; the agents draft the passive justification and the depositary notice for a person to approve.
On the sample day, 97 of 412 alerts repeated an open alert, 141 came from bad or late inputs such as stale prices, rating feed mismatches, sector remaps and unbooked corporate actions, 118 were soft warnings inside the warning band and 47 were ruled out by the agreement itself. The agents prove each case with a citation and group them by reason, so an analyst confirms a group after spot-checking five and a different person approves.
The Cure Planner tests cure options against every rule of the mandate and recommends the smallest sale that trips nothing else, with a make-whole estimate. The PM confirms the trade, and the cure is verified by a re-test. The Notice agent drafts the client, board or depositary notice from the breach record under the agreement's notice clause; the Head of Investment Compliance approves it and the Client Service Director sends it.
Yes. The Agreement agent reads IMAs, prospectuses and side letters in their original language and shows the passage beside its English reading, page-cited. In the working solution it reads a Japanese pension client's guidelines and a Bahasa Indonesia annual report, and drafts the Japanese client's notice in 日本語 and English.
No. It works beside your post-trade compliance software: it reads the compliance engine, order management system, custodian, accounting, vendors and document store through read-only service accounts and never writes to them. When a coded rule keeps firing for a reason the agreement rules out, the agents draft a rule fix with the clauses as evidence for your rule-coding team and the CCO.
Yes. Agents never close, trade or send. The analyst classifies, the Head of Investment Compliance approves, the PM confirms the cure trade, the Client Service Director sends the notice and the CCO approves threshold, rule and agent changes. Where the agents disagree, or confidence is below 90%, the alert goes to a person.
The Agentic Solution Engine builds and deploys it from your requirements and documents — your agreements, coded rules, escalation policy and the systems behind them — and it goes live once every quality gate has passed. First-time setup connects the systems, imports the mandates and maps each coded rule to its clause, then runs the agents in shadow mode beside your analysts before they go live.
Mandate rules live in a day, not two weeks, each read twice, tested and cited.
1-min demoSEC Marketing Rule ComplianceEvery claim proven to its record, every local version checked, approved the same day.
1-min demoTrade SurveillanceEvery alert closed with a cited case file, and a second reviewer on every close.
1-min demoWe'll run Investment Guideline Monitoring on a sample of your own overnight alerts and the agreements behind them.