Fund Management and Fund Administration
Innovative approach to fund administration and representing the priorities of fund administration in the major trade associations in the industry.
Managing an investment fund, in addition to generating investor funds and making portfolio investments, entails a variety of back-end fund administration duties. Some fund managers handle these activities with an in-house team, but more and more are outsourcing to third-party fund administration providers. Phoenix American is a renowned fund administration provider for the alternative investment fund sector, with nearly fifty years of experience.
The Role of Fund Administrator and Benefits of Outsourcing
Many private equity funds have traditionally been supported by fund administration through an outsource arrangement. Traditionally, real estate investment managers kept fund accounting in-house; however, due to increased complexity in fund structures, rising technology costs, a scarcity of experienced fund administration personnel, and, in some cases, investor demand, outsourcing fund administration in the real estate industry has been on the rise in recent years. The emergence of tax-driven feeder funds, Luxembourg entities, REIT structures, and other intricate fund structures, as well as extensive investor reporting requirements like ILPA, has increased the demand for subject matter specialists at fund administration firms.