Controls
What Independent NAV Oversight Actually Means
Outsourcing the official NAV calculation does not outsource the manager’s responsibility to understand the result.
8 min read · HedgeArc Fund SolutionsDifferent responsibilities
The fund administrator maintains official books, investor records, and NAV calculations under its engagement. The manager still needs a reasoned process to review positions, prices, cash, fees, expenses, capital activity, allocations, and performance before accepting the result.
A review should explain differences
Independent oversight should connect administrator data to the manager’s portfolio and provider records. Material breaks should have an owner, status, explanation, evidence, and resolution rather than disappearing into an email chain.
The output is an operating record
A good NAV-review package shows what was reviewed, what differed, how exceptions were resolved, and who approved the period. That record supports management, auditors, investors, and the future internal CFO.