Fund Admin Firms Battle for Acquisitions in Hunt for New Markets

Prospects to win new business from private fund managers and expand into new markets are keeping fund administrators busy – and driving a fresh round of mergers and acquisitions activity among the biggest providers.

Speaking about Alter Domus’ focus on serving markets where outsourced fund administration has been rare— such as venture capital— Jared Broadbent commented: “Institutional investors need operational excellence within their [managers]… and to do that in house is more and more difficult. So, we’re seeing more venture firms outsourcing at an earlier cycle of their firm life and more new managers doing it from the start.”

Paul Woods, Regional Executive North America, added: “Almost all new private debt fund launches recently have been outsourced, even though the market wasn’t new. Now you have the venture capital space attracting bigger institutional tickets. There’s a growth wave in front of us.”

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