Start Here: A snapshot we can actually act on

• In one sentence, what is the primary purpose of the separate account you are considering (e.g., liability matching, custom index tracking, ESG overlay, total return for reserves)?
• Which asset class (or combination) is this mandate intended for? Options: Core Fixed Income, High Yield, Global Equity, Domestic Equity, Multi-Asset, Cash/Liquidity, Other
• What is the target or expected AUM range for this account? Options: <$50M, $50M–$250M, $250M–$1B, $1B–$5B, >$5B
• Why a separate account rather than a commingled fund—what problem are you solving that a pooled product can’t?
• Who on your team will be the day-to-day contact for design and onboarding (role/title)?
• Do you currently run a similar separate account? If yes, what firm manages it and what do you like/dislike? Options: Yes — internal manager, Yes — external manager (name in free text), No

What’s the real worry that keeps your CIO awake at 2am?

• If this account failed to meet one obligation tomorrow, which failure would cause the biggest consequence for your organization (e.g., funding shortfall, reporting breach, covenant violation)?
• Which of these issues are already hurting you today—pick all that apply and tell us which cuts the deepest. Options: Unexpected tracking error, Regulatory reporting gaps, Tax inefficiency, Operational reconciliation failures, Opaque fees, Poor trade settlement, Other
• How often have you experienced a compliance breach or regulatory reporting delay in the past 24 months? Options: Never, Once, 2–3 times, More than 3 times, Prefer not to say
• Describe a recent situation where a manager or implementation caused friction—what happened and how did it make stakeholders feel?
• On a scale of confidence, how confident are you that your current setup is capturing the liability/regulation constraints you truly need? Options: Very confident, Somewhat confident, Uneasy, Not confident

Where have you been accepting compromises that you shouldn’t?

• Which of the following compromises does your organization currently tolerate in separate accounts? Options: One-size-fits-all benchmark, Limited transparency (no position-level data), Standardized reporting not aligned to our systems, Rigid fee structures, Limited ability to exclude issuers/sectors, Partial custody integration
• Which compromise causes the most reputational or governance pain when you brief your investment committee or consultants?
• How long have these compromises been in place, and why have they persisted?
• If you could remove one compromise immediately, which would it be and what would change for your stakeholders?
• Has any past attempt to eliminate a compromise backfired? What happened and what was learned?

If the perfect separate account existed, how would your board react?

• Imagine no policy or operational limits—what are the three non-negotiable features your team would demand in that account?
• Which of these outcome-focused metrics matter most to you for the mandate's first 12 months? Options: Benchmark-relative performance, Absolute return, Tracking error, Compliance incident count, Operational SLA adherence, Fee transparency
• What is an acceptable annualized tracking error vs your custom benchmark for this account? Options: <50 bps, 50–100 bps, 100–200 bps, 200+ bps, Unsure/Depends on mandate
• How do you want performance and holdings reported (pick formats you require)? Options: Daily position-level CSV, Daily GIPS-style returns, Monthly compliance scorecard, Custom upload for consultant database, API feed to internal systems, Board-ready quarterly presentation
• What would success look and feel like to your CIO, portfolio manager, and board—describe any differences across those audiences.

Tell us who really decides, signs, and sleeps easier afterward

• Who are the decision-makers and approvers for a new separate account (roles/titles)? Please include procurement, legal, investment committee, and any external consultants.
• Which of these groups has veto power over onboarding a new manager? Options: Investment Committee, Board, Risk/Compliance, Procurement, External Consultant, CIO alone, Other
• How does your procurement or RFP scoring typically weight the following—please rank or select all that apply. Options: Investment performance, Operational readiness, Fee structure, ESG/Policy alignment, References & track record, Technology/API ability
• What approvals and legal signoffs are required before trading can start (e.g., side letter, ISDA, custody agreement)?
• Who needs to be in the room for a final commercial discussion to move to mutual commit (names/roles and typical availability)?

RFPs and consultants: are they helping or hiding the hard questions?

• What have consultants or RFP templates repeatedly asked for that felt irrelevant or obstructive?
• Do you use a standard RFP template? If yes, which format do you require from managers? Options: Custom internal template, CIO/Consultant template, In-person Q&A only, No formal RFP—direct selection, Other
• Which standard documents do you need up-front to even consider a manager (select all that apply)? Options: Performance history (GIPS), Operational due diligence questionnaire, Compliance manual, Fee schedule & billing details, Custodian integration docs, Cybersecurity attestation
• How influential are consultant recommendations in scoring—do you treat them as advisory or determinative? Options: Determinative, Highly influential, Influential, Advisory only, Rarely consulted
• Have you ever bypassed an RFP or consultant recommendation to go direct? What was the reason and outcome?

Where operations actually trip up execution (and how we avoid it)

• Which operational integration has historically caused the longest delays? Options: Custodian onboarding, Statement/report formatting, Trade settlement instructions, Corporate actions handling, Tax reporting, Data/API mapping
• What custodians and performance vendors must we integrate with (names and any known constraints)?
• Which reporting formats do you require for your internal systems or consultants (select all that apply)? Options: BVAL/Markit pricing feed, Position-level CSV, Standard GL mapping, Custom XML/JSON API, GIPS-compliant reports, Other
• What operational SLAs are non-negotiable (e.g., daily NAV by X time, trade confirmations within Y hours)? Please list with target times.
• Have operational issues ever forced you to pause trading or delay reporting? If so, explain what happened and the downstream impact.

Must-haves, nice-to-haves, and the single clause that kills a deal

• Which of the following are deal-breakers for you (select all that would immediately stop talks)? Options: Unacceptable fee structure, Inability to meet custom benchmark, No position-level transparency, Custody restrictions, Unresolved legal indemnities, Failure to meet ESG exclusions
• Which features would make you more likely to move quickly (pick all that apply)? Options: Pilot or managed account demo, Short proof-of-concept, Flexible fee trial period, Dedicated onboarding project manager, Pre-built reporting templates aligned to our systems
• What specific legal or commercial term has caused the most negotiation time in past mandates?
• If you had to name one concession you would expect from a manager to win this mandate, what would it be?
• Are ESG, exclusions, or custom overlays required right away or evaluated for future implementation? Options: Required immediately, Planned for later, Optional depending on manager, Not required

Timeline, evidence, and the smallest test that proves value

• What is your ideal go-live date and what deadline pressures are driving that timing?
• How quickly do you expect to see proof of concept that would move you from pilot to full mandate? Options: 30 days, 90 days, 6 months, 12 months, Depends on strategy
• Which early indicator would you treat as a pass/fail for initial mandate performance (select one)? Options: Benchmark alignment/alpha, Tracking error within tolerance, Operational onboarding completeness, Timely and accurate reporting, Stakeholder feedback
• Would you consider a phased approach (e.g., pilot allocation, then scale) and what minimum pilot size would be meaningful? Options: Yes — <$50M, Yes — $50M–$250M, Yes — $250M+, No — want full mandate, Undecided
• What are the three milestones that must be cleared before your committee signs final approval?

Final quick pulse: confidence, feelings, and next engagement

• If we walked away today and you stayed with your current managers and processes, how likely are you to achieve the outcomes you described earlier? Options: Very likely, Somewhat likely, Unlikely, Very unlikely
• What would you most want a prospective manager to demonstrate in the first meeting to build trust? Options: Operational readiness, Clear benchmark mapping, Transparent fees, Case studies of similar mandates, Technical reporting examples
• What additional materials should we prepare for your next meeting (e.g., sample compliance report, custodian integration checklist, side letter draft)?
• Preferred timeline for a follow-up conversation and who should attend from your side? Options: This week, Next week, Within 2–4 weeks, When RFP opens, Other
• Any final concerns or considerations you want us to know before we begin proposal design?

• Current State & Consequence Alignment
• Scenario Modeling: Benchmark Alignment & Tracking Error Trade-offs
• Reporting Deliverables & Integration Experience
• Operational Feasibility & Implementation Constraints
• Validation & Mutual Confirmation Workshop

• Agree the compliance monitoring and exception handling workflow for the mandate.
• Identify any compliance or constraint items that invalidate a scenario and require remediation.
• Manager to deliver full scenario packs (position level, TE time series, cost and turnover estimates) within 3 business days.
• Client to indicate preferred scenario and list any constraint relaxations or tightenings.
• Quant to run additional 'what-if' stress tests requested during the meeting and return results.
• Overview of Reporting Requirements
• Agree on the specific report types, fields, formats, and cadence required by the client and their consultants.
• Prove that manager can deliver the required reports in the client's native formats and integrate with their custodian/performance systems.
• Establish SLAs and acceptance criteria for reporting deliverables.
• Manager to provide a sample monthly and quarterly report pack and the CSV/API schema for client's review.
• Client operations to schedule a 1-week test window for a custodial/data feed trial.
• Agree reporting SLA document and circulation list for sign-offs.
• Recap Chosen Scenario & Operational Implications
• Validate operational feasibility for the selected scenario and identify any gating issues that require resolution.
• Assign owners for integration tasks and establish an initial implementation timeline.
• Introductions & Meeting Objectives
• Operations to confirm custodian/TPA connectivity requirements, test dates, and required fields.
• Manager to produce an implementation milestone plan with owners and estimated timelines.
• Document and prioritize any gating issues and schedule resolution owners and deadlines.
• One-Line Future State Recap
• Obtain explicit validation (yes/no) against each acceptance criterion and the future-state statement.
• Agree a concise list of any remaining open items with owners and deadlines to move to Solution Scope.
• Secure commitment on next steps and timeline toward scope and mutual-commit stages.
• Produce final proposed mandate document (constraints, benchmark, TE budget, reporting SLA) for formal review.
• Client to provide formal validation (signed email or approval list) or an enumerated list of remaining items.
• Schedule the Solution Scope meeting to translate validated outcomes into mandate language and legal terms.
• Create a crystal-clear one-sentence current-state description agreed by all stakeholders.
• Surface and quantify the concrete consequences of the current state (cost, risk, governance impact).
• Agree a single-sentence future-state hypothesis that will be proven or adjusted via scenarios.
• Confirm datasets and modeling assumptions needed for the scenario workshop.
• Client to deliver latest portfolio position file, benchmark spec, constraint list, and compliance exception log.
• Manager to produce a 1-page quantified consequence memo using received data (impact on funding, tracking error, cost).
• Agree and document the one-sentence future state hypothesis for validation in the next meeting.
• Recap Current/Future State
• Prove, with client data, how each scenario achieves or fails the future-state outcome.
• Quantify the trade-offs (tracking error vs expected excess return vs operational cost) so the customer can decide.
• Elicit the customer's preferred scenario and any adjustments required.
• One‑Sentence Current State
• Trade Execution & Settlement Considerations
• Performance & Attribution Report Walk-through
• Modeling Approach & Assumptions
• Proof: Scenario Outcomes vs Problems
• Consequence Quantification
• Tie Features to Problems
• Compliance & Constraint Monitoring Reports
• Scenario 1 — Tight Tracking
• Custodian/TPA Integration & Reconciliations
• Scenario 2 — Moderate Active
• Validation Round — Explicit Criteria
• Data Formats & Custodian Integration
• Compliance Monitoring & Escalation Flow
• Constraints Inventory
• Scenario 3 — High‑Conviction Active
• Service Level Agreements & Acceptance Criteria
• Decisions, Open Items, Next Steps
• One‑Sentence Future State Hypothesis
• Timeline, Milestones & Gating Items
• Owner Assignments & Communication Cadence
• Scenario Comparison Dashboard
• Validation & Sign-off Process

• Open and Integrate Custodian Separate Account
• Provision Daily Position-Level Transparency Feed
• Configure Client-Specific Compliance Rules Engine
• Execute Trades with Best-Execution Documentation
• Construct Custom Benchmark and Return Series
• Deliver Daily Performance and Risk Analytics Feed
• Apply ESG Integration and Exclusion Screening
• Implement Currency Overlay and Hedging Execution
• Perform Tax-Aware Trading and Loss Harvesting
• Enforce Sector and Issuer Investment Limits
• Manage Corporate Actions and Proxy Voting
• Produce Customized Reporting Packs for Client Systems
• Operate Cash Management and Liquidity Sweeps
• Generate Transparent Separate-Account Fee Statements

Open and Integrate Custodian Separate Account

• Do you have a preferred custodian for this separate account? Options: Yes: existing custodian - specify below, No - we will choose, Undecided
• If you selected an existing custodian, please name the custodian and provide account opening contact details or RFP references.
• Which integration method do you require for operational feeds and trade settlement? Options: API (REST/JSON), SFTP flat files, Custodian web portal/manual, FIX connectivity, Other - describe
• What is the desired go-live date for the separate account (or target window)?
• Are there special account structures or tax wrappers required (e.g., statutory segregated, trust, insurance cell)? Options: Yes - describe below, No
• What security and compliance documentation will be required from the manager (e.g., SOC reports, ISAE, encryption certificates)? Options: SOC 1/2, ISAE 3402, Pen test reports, Encryption certs, Other, None

Provision Daily Position-Level Transparency Feed

• Which data elements must be included in the daily position feed? Options: ISIN/CUSIP, Quantity, Market value, Cost basis, Accrued interest, Settlement status, All of the above
• What delivery format and transport method do you require for the feed? Options: CSV via SFTP, JSON via API, XML, Proprietary flat file, Other
• What is the required latency and SLA for the daily feed (e.g., EOD T+0 by 7am client time)? Options: EOD by 07:00 local, EOD by 12:00 local, Within X hours of close - specify below, Not specified
• Do you require intraday updates or trade-level streaming in addition to EOD positions? Options: Yes - intraday positions, Yes - trade-level streaming, No, EOD only
• Does the feed need to map to a specific client schema or performance system (please name vendor/system)?
• Are there restrictions on sharing position-level data (e.g., anonymization, aggregated views, NDA requirements)? Options: Full position-level allowed, Anonymized/aggregated only, Depends on security type - specify, NDA required

Configure Client-Specific Compliance Rules Engine

• Which types of compliance rules must be enforced in real time? Options: Issuer limits, Sector caps, Duration/convexity limits, Rating floor, ESG/exclusion rules, All of the above
• Should rules be hard (block trades) or soft (alerts/approval required)? Options: Hard (reject non-compliant trades), Soft (alert and require pre-approval), Hybrid - specify exceptions
• What threshold definitions do you require for concentration (e.g., % of portfolio, % of sector, absolute exposure)?
• Do you need pre-trade checking integrated with OMS/EMS for order prevention? Options: Yes - pre-trade block, Yes - pre-trade warn only, No - post-trade only
• How should compliance breaches be escalated and documented (e.g., email, ticketing, audit log)? Options: Email to contacts, Ticketing system, Automated audit log only, All of the above
• Do you require periodic attestations or compliance reporting for trustees/boards/consultants? Options: Yes - periodic attestations, Yes - on-demand reports, No

Execute Trades with Best-Execution Documentation

• Which execution venues and broker lists are acceptable for this mandate? Options: Client-provided broker list, Manager's preferred list, Open to multiple brokers, Request client approval per trade
• What execution policies must be documented (e.g., best execution, best price, internal crossing)?
• Do you require transaction cost analysis (TCA) reporting and frequency? Options: Yes - daily TCA summary, Yes - monthly TCA review, No
• Are there specific execution constraints (e.g., no trading in dark pools, no principal trading)? Options: Prohibit dark pool trading, Prohibit principal trades, No specific constraints, Other - specify
• How should block trades and allocations across pooled funds vs separate account be handled and documented? Options: Pro-rata allocation with audit trail, Client-directed allocations, Manager discretion with pre-approved policy
• What level of execution documentation do you require (order tickets, time-stamped audit trail, broker tickets)? Options: Full time-stamped audit trail, Summary execution reports, Broker tickets only, Other - specify

Construct Custom Benchmark and Return Series

• What base index or reference should the custom benchmark start from (e.g., Bloomberg index, custom blend)?
• Will the benchmark include custom weights, overlays, or modeling rules (e.g., duration target, credit curve)? Options: Yes - custom weights/overlays, No - standard index
• What rebalancing frequency and rules should the benchmark follow? Options: Daily, Monthly, Quarterly, Custom - specify
• Do you require a backfilled historical return series and if so how many years? Options: None, 1-3 years, 3-7 years, 7+ years
• Should currency conversions or hedging be applied to the benchmark returns? Options: Yes - hedged to client currency, No - unhedged, Multi-currency - specify
• Who will be the canonical source of truth for benchmark calculations (vendor or manager-calculated)? Options: Client vendor (e.g., MSCI, Bloomberg), Manager-calculated in-house, Client/system validated

Deliver Daily Performance and Risk Analytics Feed

• Which performance metrics must be delivered daily? Options: Net return, Gross return, Benchmark return, Attribution by sector/security, All of the above
• Which risk measures are required in the daily feed (e.g., duration, VaR, tracking error)? Options: Duration, Value at Risk (VaR), Tracking error, Stress scenarios, Credit exposure by issuer
• What file formats and delivery method do you require for analytics (CSV, JSON, API)? Options: CSV via SFTP, JSON API, PDF snapshots, Other
• Do you require attribution and risk decomposition at the security-level or only aggregated? Options: Security-level detail, Aggregated only, Both
• What timeliness SLA do you require for performance and risk feeds? Options: Pre-market by 07:00, By mid-day, EOD within X hours - specify, Ad-hoc updates only
• Do you need alignment with a third-party measurement provider (name vendor) for reconciliation?

Apply ESG Integration and Exclusion Screening

• Which ESG approach do you require? Options: Negative/exclusionary screening, Positive/tilt investing, ESG integration in security selection, Thematic ESG mandates, Stewardship/engagement focused
• Please list sectors, activities or issuers to be excluded (e.g., tobacco, thermal coal, weapons); use free text to detail exact requirements.
• What data sources or ESG vendors should be used for scoring and screening? Options: MSCI, Sustainalytics, ISS, Client-specified, Manager default
• Should exclusions be hard (blocking trades) or monitored with escalation? Options: Hard exclusion - block, Soft exclusion - alert and require waiver, Hybrid - specify
• Do you require active engagement and voting records as part of the ESG service? Options: Yes - engagement and voting reports, No - screening only, Optional on request
• How often should ESG screening be refreshed and applied to the portfolio? Options: Daily, Weekly, Monthly, Quarterly, On change events

Implement Currency Overlay and Hedging Execution

• What is the objective of the currency overlay (e.g., fully hedged, partial hedge, tactical overlay)? Options: Fully hedged, Partial hedge - specify ratio, Tactical overlay, No overlay
• Which instruments are acceptable for hedging (forwards, futures, options, swaps)? Options: Forwards, Futures, Options, Swaps, Combination
• What hedge rebalancing tolerance and frequency do you require (e.g., daily rebalancing within X% band)? Options: Daily, Weekly, Monthly, Quarterly
• How should hedge costs be allocated and reported to the client? Options: Explicitly allocated to account, Netted from returns, Shown as separate fee line, Client preference - specify
• Do you require pre-approval for counterparties or limits on counterparty exposure? Options: Yes - client-approved counterparties, Manager discretion within limits, No specific requirements
• Are there regulatory or accounting constraints (e.g., hedge accounting election) we should be aware of? Options: Yes - describe below, No

Perform Tax-Aware Trading and Loss Harvesting

• In which tax jurisdictions will the account be domiciled and subject to rules?
• Which tax lot accounting method do you require for reporting and trading (FIFO, LIFO, specific ID)? Options: FIFO, Specific ID, Average cost, Other - specify
• Do you want active tax-loss harvesting or only passive tax-aware trade execution? Options: Active tax-loss harvesting, Passive tax-aware execution, No tax optimization
• Are wash-sale or local anti-avoidance rules relevant for your mandate that we must enforce? Options: Yes - enforce wash-sale rules, No, Unsure - consult required
• What level of tax reporting detail do you need (lot-level gains/losses, realized/unrealized, tax basis schedules)? Options: Lot-level gains/losses, Realized/unrealized summary, Tax basis schedules, All of the above
• Do you require coordination with your tax advisor or internal tax team during implementation? Options: Yes - contact details below, No

Enforce Sector and Issuer Investment Limits

• What issuer-level limits are required (e.g., % of portfolio, % of AUM, absolute currency exposure)?
• Do you require soft limits with alerts or hard caps that block orders? Options: Hard caps, Soft alerts, Hybrid - specify
• Are related-party and affiliate holdings treated differently (e.g., aggregated limits)? Options: Yes - aggregate affiliates, No - treat individually, Specify exceptions
• Should concentration be measured on market value or risk-adjusted basis (e.g., credit exposure)? Options: Market value, Risk-adjusted, Both
• Do limits vary by mandate sub-strategy, rating, or instrument type? Options: Yes - vary by sub-strategy, No - uniform limits, Other - describe
• What approval process is required to exceed a limit (e.g., CIO sign-off, investment committee)?

• Investment Management Agreement (IMA)
• Statement of Work (SOW)
• Commercial Terms & Fee Schedule
• Legal Addendum / Side Letter
• Operational Due Diligence Acceptance
• Custody & Clearing Agreement
• Data, Reporting & Connectivity Agreement
• Compliance & Regulatory Certifications
• Governance & Approval Confirmation
• Transition Management Agreement
• Onboarding & Go‑Live Timeline
• Service Level Agreement (SLA) & Acceptance Criteria
• Termination, Exit & Post‑Termination Assistance
• Insurance & Indemnity Schedule

• Quarterly Performance & Benchmark Review
• Compliance & Exceptions Confirmation
• Reporting & Data Integration Workshop
• Operational Incident & Enhancements Triage (Monthly)
• Annual Governance, SLA Review & Renewal Planning

• Maintain a governed shared channel with clear SLAs for issue reporting and updates.
• State of Data Feeds & Timeliness
• Confirm final report templates and field mappings that will be used for SLA deliveries.
• Agree reconciliation tolerances and escalation paths to ensure data integrity.
• Schedule and define acceptance tests for the next reporting cycle.
• Apply agreed field mapping updates and deliver test reports to client for validation within X business days.
• Implement reconciliation exception routing to named operational owners and update runbook.
• Create and share a test plan with sample datasets and expected outputs for client sign-off.
• Incident Summary Since Last Meeting
• Resolve or put remediation plans in place for Priority 1/2 incidents.
• Agree a prioritized backlog of enhancements and owners for delivery.
• Opening & Objectives
• Close P1 incidents or provide a remediation ETA and communications script for stakeholders.
• Publish prioritized enhancement backlog and scheduled delivery windows.
• Update the shared channel playbook with response SLAs and escalation contacts.
• Year-to-Date SLA & Performance Review
• Agree whether to renew the mandate under current terms or with proposed amendments.
• Identify contractual or operational changes required for the next term.
• Set a clear timeline and owner list for renewal approvals and documentation.
• Prepare a renewal package summarizing SLA performance, incidents, and proposed contract changes for client governance review.
• Propose any recommended SLA or fee adjustments and circulate for internal and client approval.
• Schedule required sign-offs and legal review to meet the agreed renewal timeline.
• Formally validate performance calculations and attribution against the agreed benchmark.
• Identify and agree root causes for any material under- or outperformance.
• Confirm SLA delivery status and assign remediation for any missed SLAs.
• Reconcile any discrepancies between manager and custodian performance within 5 business days and distribute corrected pack.
• Document attribution drivers and provide trade-level supporting detail for the investment committee packet.
• Owner to propose SLA remediation timeline for any missed KPI and report back by the agreed due date.
• Confirm all compliance obligations are met or have approved remediation plans.
• Close or assign owners to open exceptions with defined timelines.
• Agree improvements to monitoring and reporting to reduce future exceptions.
• Compliance Dashboard Summary
• Assign owners and target dates for each open compliance exception and publish tracker.
• Produce signed compliance attestation for the reporting period and deliver to the client.
• Initiate a plan to implement automated alerts for the top 3 recurring breach types.
• Deep Dive: Open Exceptions
• Current State: Performance Summary
• Commercial & Fee Discussion
• Enhancement & Request Prioritization
• Report Template & Field Mapping
• Contractual & Legal Requirements
• Regulatory & Reporting Deliverables
• Reconciliation & Exception Handling Process
• Root Cause & Remediation Status
• Attribution: Drivers of Relative Performance
• Governance & Escalation Effectiveness
• Custom Deliverables & Ad-Hoc Requests
• Benchmark & Guideline Adherence Check
• Control Effectiveness & Monitoring Improvements
• Ownership, Timelines & SLAs
• Renewal Decision & Timeline
• SLA Metrics & Data Reconciliations
• Testing & Validation Plan
• Shared Channel Governance
• Sign-Offs and Escalations
• Decisions & Next Steps