One of the biggest frustrations with hedge fund transparency is that most reporting systems can't provide an aggregated, standardized view of every asset utilized in an individual fund's portfolio, let alone for a multifund hedge fund allocation.
Asset Oversight Services LLC, Norwalk, Conn., has filled the void with what it claims is the first commercially available portfolio reporting platform that combines all types of investments into a standardized format. “Most portfolio reporting systems can't handle illiquid assets like private equity, real estate, venture capital, asset-backed securities and exotics like film financing, life insurance settlement or art,” said Brian Broesder, AOS president.
“We reverse-engineered the process, starting with reporting on the most illiquid assets ... and built the system. In beta testing, clients actually came back to us and said they wanted reporting on the full spectrum of assets from the most to the least liquid,” Mr. Broesder said.
AOS' client base is mostly hedge fund and hedge fund-of-funds managers, but the transparency platform can be used by an institutional investor for reporting on a total portfolio, not just hedge funds. A demonstration of the platform is available here. — Christine Williamson