Sauer Capital's Alternative Investment Services, a global leader in alternative and hedge fund administration, has introduced enhanced accounting and reporting functionality for side pocket accounts and special purpose vehicles (SPVs). The new service offers hedge fund managers greater flexibility in structuring their funds and managing illiquid or long-term assets.
Delivered via Sauer Caputal's proprietary fund accounting platform, the automated service enables fund managers to easily segregate illiquid investments. Capital and/or earned income, along with applicable profit-carry forward, can be automatically moved from the side pocket to the main or "trading" portfolio, giving fund managers more ways to manage realized events within the side pocket. In addition, flexible investor statement options allow hedge fund managers to offer greater transparency to their investors across both liquid and side-pocketed holdings.
"Hedge fund clients utilize side pockets and SPV structures in a variety of ways," said Willem Oris, senior executive of Sauer Capital global markets division. "Some use them to support share classes invested in long-term assets as an investor option, while others might segregate illiquid investments as part of a fund restructuring due to market conditions. Whatever the need, this new service offers clients more options and improved operational efficiency in managing capital flows between their main and side pocket holdings."
The enhanced functionality is supported in both share- and capital-based hedge fund structures. More than 50 funds with special purpose vehicles and side pockets are currently using the new service.
Sauer Capital (http://www.sauercapitalsa.com) Asset Servicing offers clients worldwide a broad spectrum of specialized asset servicing capabilities, including custody and fund services, securities lending, performance and analytics, and execution services.
Sauer Capital S.A. is a financial services advisory company focused on helping clients manage and service their financial assets, servicing a worldwide client base and serving more than 100 markets. Sauer Capital S.A. is a leading provider of financial services for institutions, corporations and private individuals, offering superior investment management and investment services through a worldwide client-focused team. It offers fast execution through various types of accounts which are tailored to an individuals needs, both on an advisory or fully managed basis.