Resources at Work: Getting Help in Key Areas of Institutional Qualification

Updated: Jul 13, 2020

Managers need lots of resources to succeed in the asset management business. Often, a combination of internal and external resources is the best solution to ensure that firms have the necessary bandwidth and expertise to meet institutional qualification standards. Firms must carefully vet the capabilities of their in-house team, and then determine what is needed. Here are a few areas in which resources are best addressed head on to ensure effective business management. These areas are also good candidates for outsourced experts who can step in quickly:

Databases: There are a wide variety of database vendors available in the market who can assist with data entry. Firms like IMMS, DG Analytics and Jackson Analytics are a few. Also, some of the large database providers offer tools to make the process easier, such as eVestment. Carefully consider the option to outsource rather than relegating the critical task of database management to a junior staffer. Databases must be completed accurately and in a timely fashion, and all key fields must be completed and quality checked for accuracy.

Compliance: Keeping up with compliance requirements is challenging. The rules can be a moving target and a definitive level of expertise and training is needed to ensure full understanding and applicability of the rules. Firms may elect, or may be required by regulation, to have in house compliance representatives. Regardless, considering some outsourced expertise is worthwhile. Industry veterans to consider include ACA Compliance Group, Alpha Performance Verification, Monahan & Roth LLC and National Regulatory Services.

Public Relations: Managers often miss an important opportunity to get the word out in the market about their capabilities. Public relations can be costly, but can also put a manager on the map. There are a wide variety of industry publications and media outlets that can be pursued. If the firm is not up for the task solo, firms such as Gregory FCA, Interdependence, JConnelly, Inc. and MacMillan are worth a look.

Regardless of the application of internal v. external resources, the firm is on the hook for the output. Managers are encouraged to spend the necessary time and resources to put the firm’s best foot forward. Where internal resources are lacking, there is no shortage of external resources that can be engaged. The market has fully embraced outsourcing; take advantage of this opportunity to remain agile by defining the right combination of resources for the firm today, and a game plan for growth into tomorrow.