European Fund Managers Get Tech Savvy
Alternative Investment Fund Managers Directive drives investments.
Fund administration technology is experiencing heightened demand in Europe as asset managers comply with regulatory and investor demands for greater transparency.
Faced with mounting regulatory and investor pressures, hedge funds are deploying industrial-strengthen technology to collect, collate, and convey risk information.
The European Securities and Markets Authority (ESMA), the pan-European securities regulator, has released a consultation on possible implementing measures for the Alternative Investment Fund Managers Directive (AIFMD).
The consultation is designed to provide robust and harmonized regulatory standards for all AIFMD and enhance the transparency of the activities of AIFMs, and the funds they manage, towards investors and public authorities.
AIFMD stipulates that fund managers whose assets under management fall below a threshold of 100 million Euros without the use of leverage (or 500 million Euros with the use of leverage) will be exempt, but may choose to opt in, in which case they would be subject to all rights and responsibilities granted under AIFMD.
AIFMD aims to increase transparency of alternative investment funds and mangers. In this context, ESMA’s advice specifies the form and content of information to be reported to competent authorities and to investors.
Advent Software has gained momentum in the European hedge fund market with Geneva, its hedge fund and alternative investment manager solution.
“Geneva provides transparency for both managers and investors to prove fund valuation and inform investment decision making,” Thomas Zdon, vice president of global accounts, solutions consulting and business development at Advent Software, told Markets Media.
“These features make the solution attractive to European hedge funds who are looking to grow, enhance client service and comply with regulatory standards,” he said.
In March 2011, Advent acquired London-based Syncova, integrating margin optimization into Advent’s solutions and growing the UK team.
The company has also certified ten new consultants on Advent’s hedge fund
solution, bringing the number of staff members and consultants working for Advent’s hedge fund team in EMEA to more than 35.
Geneva, a global portfolio management, reporting and investor accounting platform, offers integration tools to enable firms to manage complex investment vehicles, multiple investment strategies, and unlimited fund structures.
“Geneva’s footprint for European hedge funds is broader than commonly perceived, and new clients cite Advent¹s expansive roadmap as the reason for migration to the Advent platform,” said Zdon.
Upstart exchange has seen market share increase to near 4%.
Goldman Sachs Asset Management’s fundamental equity business manages over $20bn in thematic equities.
Data extraction and integration is the second stage of a digitization process.
With Ankit Mittal, Business Change Manager, Global Trading, Schroders
IIGCC and lead investors will launch a pilot with companies including BP, Eni, Repsol, Shell and Total.