Fri, Sep 30, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Viteos makes the case for outsourced shadow accounting at hedge funds

Wednesday, January 29, 2014

Bailey McCann, Opalesque New York:

Viteos, a global fund administrator and outsourced middle office service provider has released a new white paper detailing the business case to hedge funds for outsourcing shadow accounting functions. Shadow accounting in one form or another is part and parcel of hedge fund operations. According to Viteos, moving that function to an outsourced provider can help mid-sized funds grow assets and realize greater cost efficiencies.

Not only are strategies more complex -- paper authors note -- so are compliance requirements and scalability demands. In-house shadow accounting operations run the risk of being behind the curve on new regulations, or in learning new asset classes. Unlike in-house teams which must respond to a variety of mandates, outsourced shadow accountants can focus on reconciliations, learning new systems, and providing that expertise back to clients.

Authors say that adding this layer of infrastructure to a fund can also aid in attracting institutional size investors that look out for more independent operations. Service providers in the area are also able to provide many of the in-house customizations hedge funds use to evaluate their investment opportunities. As with any professional relationship, in order for outsourced shadow accounting to be successful, firms will have to go through a due diligence process with potential providers and assure aligned interests.

The full paper is available ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Studies - Hedge funds’ study reveals vast disparity in types of investors securing side letter arrangements, Cambridge: Look to private investments for best access to LatAm growth[more]

    Hedge funds’ study reveals vast disparity in types of investors securing side letter arrangements A new study of the hedge fund space by industry law firm Seward & Kissel LLP reveals a wealth of information regarding established hedge fund managers’ use of side letters—special agreements

  2. Activist News - Caesars 'optimistic' on deal with hedge fund creditors[more]

    From Reuters.com: Caesars Entertainment Corp said on Monday it remains "optimistic" of reaching a $5 billion deal with the bulk of its creditors to push its main operating unit out of bankruptcy, but one hedge fund bondholder said it will pursue litigation. Caesars offered a sweetened $5 billion set

  3. Hedge funds recover from losses as central banks give markets a respite[more]

    Komfie Manalo, Opalesque Asia: The Lyxor Hedge Fund index was up 0.4% from the week ending September 20 (-2.4% YTD), supported by the willingness of central banks to remain accommodative, Lyxor Asset Management said in its weekly briefing. It ad

  4. Perry Capital closing flagship fund after almost three decades[more]

    From Blooomberg.com: Richard Perry, one of the biggest names in hedge funds, is calling it quits after 28 years. Perry, 61, is winding down his New York-based flagship fund as the industry confronts one of the most tumultuous periods in its history. In a letter to investors Monday, he said his style

  5. Eden Rock buys Gottex stake in ERG Asset Management[more]

    Matthias Knab, Opalesque: Eden Rock Group announced the purchase of Gottex’s stake in ERG Asset Management and so the firm is now wholly owned by Eden Rock. The two firms established the joint venture in 2011 to focus on providing cost effective solutions to funds holding illiquid investments, as