Scenario
The client has several hundred portfolios spanning a wide range of jurisdictions and regulatory types, encompassing a diverse set of alternative asset classes – from real estate and infrastructure to private equity, private credit, loan origination, music rights, and hedge funds – along with a variety of master/feeder structures. Data is received from a broad range of administrators and, without exception, arrives in inconsistent NAV packs at highly variable frequencies.
The client needs a solution and the support to track and capture all this data accurately and reliably in a consolidated book of records.
The client also requires support with monitoring portfolios against their stated investment limits and also their leverage limits. The client also needs AIFMD Annex IV Reporting for c. 100 portfolios, for multiple jurisdictions.
What the client was looking for
The client’s existing solution was not flexible enough to capture all asset classes. It was also limited in the data it could ingest, being able to bring in holdings but not necessarily all other data that the client wanted to capture, including subscriptions, redemptions, gross and net returns and other relevant data.
The client’s previous solution did not also come with the ancillary managed services to support the client in tracking and uploading all of the data.
Why Funds-Axis was selected
The client selected Funds-Axis for a range of reasons, including:
- Our extensive expertise and reference-ability in the Platform Management / Host AIFM market
- Our extensive ISO-certified managed services capabilities
- Our record of customer service, with some clients onboard for nearly a decade
- Our automated data transformation and management capability.
- Our experience with alternative assets
The perceived barriers
The perceived barriers were whether we could provide a significantly enhanced service delivery as compared to the current vendor, in order to justify the transition effort. This would require: (i) the organisational arrangements for all the data tracking, (ii) having all the required industry knowledge and expertise to work through all the NAV packs, (iii) being able to automate data flows sufficiently in order to meet tight SLAs.
The initial Implementation
The initial implementation took time as the transformation and data extraction from each administrator file required to be automated and we needed to build up a clear understanding of all asset types and strategies and data presentation. We had to implement normalised data taxonomies to support the broad range of alternative asset types being supported and the differences in categorisation across all the different administrators.
How things look today
The number of portfolios and range of administrators has continued to increase.
All data flows are tracked. Data is uploaded and quality assured within tight SLA turnaround times, based on the high-level of automation in place.
All leverage monitoring, guideline monitoring and regulatory reporting is performed within service level.
