Test Plan & Scenarios

Compute shadow NAV for equity scheme with 50 holdings using NSE closing prices, verify accrued income and expense deduction.

Expected: Shadow NAV matches AMC-declared NAV within +/-0.0001 per unit

Compute debt scheme NAV with 30 debt instruments, apply interest accrual using actual/365 day count convention.

Expected: Interest accrual matches to the nearest rupee; NAV variance < 0.01%

Compute NAV for hybrid scheme holding equity, debt, gold ETF, and REITs with proportional asset valuation.

Expected: Each asset class valued correctly; blended NAV matches expected value

Process 1:1 bonus issue for top holding. Verify quantity doubles, cost basis adjusts, and NAV remains neutral.

Expected: Post-bonus NAV change <= 0.0001; quantity doubled; cost halved per unit

Process 1:5 stock split. Verify face value, quantity, and price adjustments are correctly applied.

Expected: Quantity 5x; price 1/5x; total value unchanged; NAV impact zero

Inject stale prices for 3 securities (no price update for 3 days). Verify stale price alert is triggered.

Expected: System flags 3 securities as stale; suggests last available price with warning

Trigger credit event on a debt holding. Verify side-pocket creation with separate NAV for segregated portfolio.

Expected: Two NAVs generated: main portfolio and segregated; units correctly split

Simulate net redemption exceeding 5% of AUM. Verify swing factor applied to NAV.

Expected: Swing-adjusted NAV < unadjusted NAV by swing factor amount; factor within range

Inject artificial 5% NAV jump on a large-cap equity fund. Verify anomaly detection triggers investigation alert.

Expected: Anomaly alert raised within 60 seconds; investigation workflow initiated

Compute NAV for fund-of-funds holding USD and EUR denominated underlying funds with RBI reference rate conversion.

Expected: Currency conversion uses correct RBI rates; NAV in INR within 0.01% tolerance

Holdings at exactly 10.00% in single issuer equity. Verify NO breach is flagged.

Expected: No breach flagged; warning indicator shown (amber) at >=8.5%

Holdings at 10.01% in single issuer equity. Verify active breach is flagged and escalated.

Expected: Active breach flagged; severity: Critical; notification sent to compliance officer

Aggregate group company exposure at exactly 20.00%. Verify compliant status with near-limit warning.

Expected: Compliant status; amber warning displayed; trustee notification prepared

Submit buy order that would push single issuer exposure to 11.2%. Verify order is blocked.

Expected: Order rejected with reason code; fund manager receives rejection notification

Market rally causes single issuer to cross 10% due to price appreciation (not active trade). Classify as passive breach.

Expected: Breach flagged as 'Passive'; rectification deadline set per SEBI norms

Verify large-cap fund maintains minimum 80% in large-cap stocks per AMFI quarterly classification.

Expected: Large-cap allocation verified at >=80%; AMFI classification list used correctly

Sector exposure reaches 25.5% in a diversified equity fund. Verify breach flagged.

Expected: Sector concentration breach flagged; limit = 25%; actual = 25.5%

Process inter-scheme transfer of 50,000 units of a debt security. Verify market price execution and board recording.

Expected: Transfer executed at market price; deviation < 0.1%; board resolution reference attached

Equity scheme with derivative hedging position. Verify gross exposure within SEBI limits.

Expected: Hedging exposure correctly classified; net exposure within 100% of NAV limit

Rating downgrade from AA+ to A for a corporate bond holding in banking & PSU fund. Verify compliance alert.

Expected: Compliance alert for rating breach; rectification timeline triggered; trustee notified

Equity scheme with AUM of Rs. 5,000 Cr. Verify TER calculation matches SEBI slab-wise limits.

Expected: Weighted average TER <= SEBI maximum for Rs. 5,000 Cr AUM slab

Compare TER between regular and direct plans. Verify differential equals distribution commission.

Expected: TER differential matches trail commission amount; no cross-subsidization

Scheme TER at 98% of SEBI maximum. Verify approaching-limit alert is triggered.

Expected: Amber alert triggered at 95% utilization; red alert at 100%

Verify exit load collected is properly utilized for scheme expenses and excess credited to NAV.

Expected: Exit load utilization report matches actual expense heads; excess booked to NAV

Verify additional 30bps expense is charged only against inflows from B30 cities.

Expected: B30 inflow amount validated; additional charge applied proportionally

Generate trial balance and reconcile against custodian holding report and bank statement.

Expected: Trial balance debits = credits; custodian variance = 0; bank reconciled

Process dividend declaration for 5 equity holdings. Verify ex-date recognition and income booking.

Expected: Dividend income recognized on ex-date; receivable booked; NAV impact correct

Sell 10,000 shares acquired across 4 lots. Verify FIFO-based capital gains computation.

Expected: First lot consumed first; short-term/long-term correctly classified; gain computed accurately

Process daily SIP subscriptions for 500 investors. Verify unit allotment at applicable NAV.

Expected: Units allotted at correct NAV; unit capital balanced; 100% STP rate

Generate full financial statements per SEBI format for a complete financial year.

Expected: Balance sheet, P&L, cash flow generated; all mandatory schedules populated; variance = 0

Single investment of Rs. 50 Lakhs from new investor with no income documentation.

Expected: STR alert generated; risk score elevated; enhanced due diligence workflow triggered

New investor name matches PEP database entry. Verify enhanced screening workflow.

Expected: PEP match flagged; enhanced due diligence form generated; senior management approval required

Investor name with slight spelling variation matches OFAC sanctions list. Verify fuzzy matching triggers alert.

Expected: Fuzzy match alert with similarity score >=85%; manual review workflow initiated

Cash transaction of Rs. 11 Lakhs across 2 transactions in same day. Verify CTR generated.

Expected: Aggregate cash exceeds Rs. 10 Lakh threshold; CTR auto-generated for FIU filing

Submit investment with PAN number. Verify PAN validation against NSDL database.

Expected: PAN verified successfully; name match confirmed; status updated to KYC compliant

Investor KYC due for renewal in 30 days. Verify reminder notification triggered.

Expected: Email and SMS reminder sent to investor; RM notification generated; 30/15/7 day reminders

8 purchases of Rs. 9.5 Lakh each across 8 different schemes within 2 business days by same investor.

Expected: Structuring pattern detected; aggregate Rs. 76 Lakh flagged; STR alert generated

Investor buys Rs. 25 Lakh in Scheme A, redeems next day, immediately invests in Scheme B, repeats 3x in a month.

Expected: Round-tripping pattern flagged; unusual transaction alert; compliance review initiated

Account dormant for 18 months suddenly receives Rs. 1 Cr subscription.

Expected: Dormant account reactivation alert; source of funds verification triggered

New trust account with complex structure. Verify beneficial owner identification through trust chain.

Expected: Ultimate beneficial owners identified through trust chain; all UBOs with >25% documented