Several factors like the still ongoing global pandemic are pushing fund managers to adopt new and more efficient strategies in managing funds of all sizes. Realizing that doing everything in-house may be more taxing on resources than it seems, many are opting to outsource their various middle and back office business functions including fund accounting from reputable third-party providers.
The role of a fund accountant is mainly to calculate and report the daily Net Asset Values (NAVs) per unit as well as compile standard weekly and/or monthly financial statements and income and expense accruals among others. They can also help in fund management through research and preparation of reports.
In today’s current situation, outsourcing fund accounting functions can contribute in improving cash flow and the overall status of the business. Here are just some of the reasons:
The expertise and experience of professional fund accountants are needed in ensuring accuracy in monitoring of accounting processes and compiling regulatory financial reports, which are crucial in improving performance and guaranteeing transparency for investors.
Moreover, not only does your outsourced team add to manpower, they also possess the needed skills and knowledge such as account management, bookkeeping, and fund analytics that are useful when it comes to the processes involved.
Focus on core competencies
Delegating operational functions to an outsourced partner can lead to a significant reduction in operating risks and costs and a higher degree of transparency into the management of the funds. It also lessens the burden of increased regulatory requirements and complex investor requests on the shoulders of fund managers. In turn, this will allow them to focus on their core competencies such as creation of fund structures and servicing investors to raise and deploy capital.
Best value for money
Outsourcing proves to be the more advantageous and cost-efficient route to take for businesses, because services can be scalable depending on the needs and capabilities of a company. Costs for training, recruitment, office space, and IT infrastructure are lessened. It also gives you access to specialized accounting systems (e.g. Quicken Premier, Master Investor, etc) that have become essential to the industry due to investors’ demand for more transparency, which when not outsourced can be very expensive.
Look for a trusted outsourcing company that can help you build a dedicated Fund Accounting team that has:
- Access to talent through their A+ recruitment process
- Cost saving of up to 70%
- Adaptability in technological advancement
- Established Information Security
Lastly, the right outsourcing partner promises for the following:
- Operational excellence
- Having a great F&A team
- Operational cost savings of up to 70%
- Accuracy and quality
- Timeliness in submission
- Information and data security
- Net Promoter Score >70: Sense of security and peace of mind
Partnership with Infinit-O
Infinit-O’s mission is to create endless opportunities for your company to realize its full potential.
Infinit-O Key Benefits:
- Building great, high-performing teams
- 70% Projected operational savings
- 72 Net Promoter Score (2019)
- 97% Client retention rate
We can build you a great, high-performance Fund Accounting and other F&A team composed of:
Let’s work together to build a great Fund Accounting Team.
Start small. Exceed expectations. Think infinitely. Think Infinit-O.