If you're outsourcing fund administration but still facing operational inefficiencies, regulatory challenges, or service frustrations, it might be time to reassess your provider. Here are five quick questions to help you determine if your current fund administrator is truly meeting your needs:
1. Is your current fund administrator helping you eliminate operational inefficiencies?
If your provider is experiencing high turnover and isn't streamlining your processes, or if you're encountering frequent errors, missed deadlines, or difficulties scaling operations, it may be time to explore other options. A capable fund administrator should provide stability, optimize workflows, reduce errors, and free up your team for strategic initiatives.
2. Does your current provider keep you ahead of evolving regulatory requirements?
With regulations constantly changing, maintaining compliance across jurisdictions can be a significant challenge. If your fund administrator struggles to keep pace with regulatory changes or leaves you exposed to compliance risks, it could be a sign that you need a more proactive partner.
3. Is your fund administrator meeting your investors' reporting expectations?
Today's investors demand detailed, transparent, and timely reporting, along with professional and timely responses to their needs. If your current provider can't deliver detailed, reliable reports promptly, does not reflect the professional standards you expect for your investors, or if your team spends too much time correcting errors, it's worth considering an administrator with advanced reporting technology and processes.
4. Does your fund administrator provide the robust technology you need to grow?
Fund administration relies heavily on technology for automation, data aggregation and secure reporting. If your provider's systems are inflexible, outdated or not aligned with your growth goals, you could benefit from an administrator offering scalable, cutting-edge solutions.
5. Are administrative issues still taking up your time, even with an outsourced provider?
As a fund manager, your time is better spent on identifying opportunities, building investor relationships and planning for growth. If your team is still bogged down by day-to-day operational concerns, it might be time to switch to a provider who can help you relieve this burden and allow you to focus on high-value priorities.
If these questions raise concerns about your current provider, consider exploring a new fund administrator who can deliver the service, support and solutions your fund deserves. As part of the Kaufman Rossin Group, Kaufman Rossin Alternative Investment Services offers deep industry expertise along with a full suite of services to help alternative investment funds reach their business goals.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
