Outsourcing Fee and Expense Calculation to Improve NAV Accuracy

For fund managers, fee and expense calculation outsourcing is becoming a smarter way to simplify operations and strengthen NAV production. These calculations — from management fees to performance fees and expense allocations directly impact NAV accuracy, investor transparency, and audit readiness.

Many firms still rely on spreadsheets and manual reviews, which create unnecessary friction, errors, and late adjustments. Instead of adding more staff or tools, firms can reduce complexity by outsourcing. Fee and expense calculation outsourcing combines automation and expertise to deliver accurate, scalable, and audit-ready processes.

For global investment firms, partnering with trusted outsourcing companies in the Philippines like Infinit-O provides both cost efficiency and deep financial domain expertise.

Common Challenges in Fee and Expense Processing

Manual workflows that delay NAV preparation
Accruals are often one of the final steps in the NAV cycle. When handled manually, even small delays or inaccuracies can throw off the entire close process.

Complex and evolving fee structures
Tiered fees, hurdle rates, high water marks, clawbacks, and allocation rules are difficult to manage with spreadsheets alone. Manual work increases the risk of error.

Post-close adjustments
If conditions such as performance thresholds are missed, it often results in late corrections after NAV release. These adjustments delay reporting and reduce confidence in published numbers.

Audit and investor reporting pressure
Auditors and investors expect clear, repeatable processes. Without automation and standardization, preparing these materials becomes time-consuming and resource-heavy.

Scaling with fund growth
As portfolios expand, the number of fund structures and agreements grows. Manual methods strain teams and limit scalability.

Infinit-O’s Approach to Fee and Expense Calculation Outsourcing

Infinit-O combines automation with expert oversight to remove unnecessary manual effort while ensuring transparency and control.

Process Step	Automation Capability	Expert Contribution
Fee Rule Application	Applies fund-specific logic consistently	Interprets LPAs/IMAs and manages exceptions
Expense Allocation	Automates allocations across share classes/groups	Validates complex cases and overrides
Performance Fee Conditions	Validates hurdle rates and high water marks	Reviews unique scenarios and approvals
Data Integration	Reconciles data from accounting and portfolio systems	Ensures accuracy and completeness
Accrual Entry Generation	Produces NAV-ready entries	Performs quality checks before posting
Audit & Investor Reporting	Generates reports and audit logs automatically	Prepares supporting documentation

This approach removes manual friction while giving fund managers full visibility and confidence in their fee and expense calculations.

The Value Delivered

Firms adopting fee and expense calculation outsourcing with Infinit-O typically achieve:

• Improved NAV accuracy — fewer errors, fewer late adjustments
  
• Transparency and compliance — audit-ready reports and investor-level documentation
  
• Efficiency gains — faster close cycles with less manual work
  
• Scalability — trained teams and proven processes that grow with demand
  

Why Infinit-O

With more than 20 years of experience, Infinit-O has become one of the trusted outsourcing companies in the Philippines for financial operations. Our fee and expense calculation outsourcing solution is designed to reduce risk, strengthen compliance, and improve NAV accuracy, enabling funds to scale with confidence.

Because accuracy in NAVs isn’t just about efficiency, it’s the foundation of investor trust.

The Takeaway

Fee and expense calculations don’t have to slow down NAV production. With the right outsourcing partner, firms can simplify complex rules, ensure accuracy, and scale without adding headcount.

📈 Ready to strengthen your NAV process?
Talk to Infinit-O and see how fee and expense calculation outsourcing in the Philippines can help your fund operations run smoother and more efficiently.

Infinit-O empowers finance and healthcare SMBs by being the trusted, customer-centric, and sustainable leader in business process optimization, driving continuous improvement through the integration of technology, data, and people.