“Our new practice responds to private markets managers’ growing requirement for hands-on support on how to renew entire operating models that are no longer fit for purpose,” stated Steve Krieger, head of newly launched key client partnerships practice at Alter Domus. Photo: Alter Domus

“Our new practice responds to private markets managers’ growing requirement for hands-on support on how to renew entire operating models that are no longer fit for purpose,” stated Steve Krieger, head of newly launched key client partnerships practice at Alter Domus. Photo: Alter Domus

Alter Domus, a major alternative investment fund service provider, launched its “key client partnerships” practice on Tuesday, aimed at aiding private market firms to scale their operations amidst increasing industry complexities.

Luxembourg-headquartered Alter Domus, a fund and corporate service provider specialised in the private assets space, announced the establishment of its key client partnerships (KCP) practice on Tuesday 23 January 2024. This initiative is designed to assist private markets firms in scaling their middle- and back-office infrastructure in response to growing investor demands and increasing complexity in the sector, stated the press release.

The KCP practice by Alter Domus is a strategic response to the evolving needs of the private markets, where the pace of growth has been matched by advancements in technology and an escalation in regulatory and investor reporting requirements, the company stated. Steve Krieger, the head of KCP at Alter Domus, emphasised the importance of this new practice in supporting private markets managers to overhaul outdated operating models, thereby enabling them to focus more on investment management, such as raising money, deploying capital and managing risks, rather than on fund servicing, accounting and compliance.

Offerings

The newly minted practice will offer three main operational models based on clients’ strategic priorities: co-sourced, managed service and outsourced models.

In the co-sourced model, Alter Domus leverages the client’s existing technology, processes and data infrastructure while managing human resource responsibilities for the client’s team. This approach offers continuity and retention of bespoke technology platform developments, said the press statement.

The managed service model involves an expert team from Alter Domus actively managing a client’s technology and processes, with the client retaining control over its data infrastructure. This model provides access to Alter Domus’ extensive administration, technology, and process expertise, along with absorption of technology costs and maintenance of bespoke data interfaces and developments.

The third of the list, the out-sourced model, is the most comprehensive, where Alter Domus experts handle all aspects of a client’s administration needs, including technology and data infrastructure. Clients will receive information through Alter Domus’ client portal, Corpro, or direct API connectivity, with the firm absorbing data and infrastructure costs and granting full access to its platforms, servicing and technology innovations.

Additionally, the KCP team will aid clients in developing the relevant financial model for the partnership and lead the transition to the target operating model.

As of the end of 2023, Alter Domus has over 5,100 employees across 39 offices globally, including some 1,100 in Luxembourg.

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