Blogs

When investment managers switch custodians, attention typically centers on the transition logistics—system integration, compliance considerations, and client communications. Less often discussed is what can be left behind: years of trading history, now fragmented across multiple systems. It’s an operational gap that quietly erodes data lineage until the downstream effects become too costly to ignore.

In an increasingly competitive investment landscape, asset managers are under growing pressure to demonstrate not only strong performance, but also trustworthy and benchmarked results.

In the evolving world of private equity fund administration, offering client-focused services is essential, not just a competitive edge. With increasing competition, having a solid framework to understand and exceed client expectations sets you apart. Each fund manager is unique, with specific investment goals, risk profiles, and reporting needs.

In recent years, many alternative fund managers have explored ways of enhancing operational productivity. Forward-looking firms have recognized that fund growth leads to increased operational volume, complexity, and operating expenses, and as with most things, one size does not fit all when it comes to outsourcing.

Regulatory change is here for Private Fund Advisers. As of August 23, 2023, the SEC implemented new regulations and updates known as the “Private Fund Adviser Rules” (Rules) under the Investment Advisers Act of 1940. The Rules represent the most notable regulatory influence on Private Funds since 2010. These regulations impact both SEC-registered and unregistered private fund managers.

Due to the increased investor transparency requirements and a heightened need to maintain regulatory compliance in recent years, there has been a shift toward fund managers outsourcing more back-office functions to third-party administrators. In the competitive market space, it’s critical that fund managers complete their due diligence when selecting a fund administrator and factor in key considerations such as technology, experience, servicing capabilities, and cost.