John Wiencek, former managing director and head of North American operations for Mourant Fund Services, has launched a private equity fund administration firm, AltResources.
AltResources launched this week, providing accounting, tax and compliance services for private equity funds. The firm is being marketed to select private equity funds and hopes to announce its first client by year-end.
Based on our modeling, we believe we can achieve savings of 20% for an established private equity fund with assets of less than $500 million compared to their in-house process, and for fund startups the savings from outsourcing are even greater, Wiencek says.
The independent administrator hopes to appeal to funds that are looking for an alternative to the large banks that dominate the fund administration space.
Managers of private equity funds want to focus on what they do best finding investments and managing portfolios, Wiencek said. Recordkeeping, regulatory compliance and tax paperwork are not their core competence, but they are for us. With an experienced staff and excellent technology infrastructure, AltResources is equipped to handle the growing administrative needs of PE funds.
Wiencek adds: We believe the turmoil in the banking industry has created an opening for an independent firm that can focus on client needs, particularly funds of moderate size, and can offer a customized approach instead of a standard menu of services and pricing. We are very optimistic about the outlook for this industry and for our business.
(CG)