A company’s systems architecture is the foundation from which the entire firm is run. The systems architecture not only includes the hardware but also includes the integrated set of software applications that the entire firm operates from.

When our client came to us they were already a mid sized alternative asset manager with $9 billion in Assets Under Management (“AUM”). Their challenge was that they were still operating with the basic systems that they had started the company with five years earlier. The current set of systems no longer supported the diverse funds and strategies they had developed. Technology was now acting as a deterrent to their growth strategy and their opportunistic investment style.

The client wanted a system that would allow their staff to focus on their jobs making the underlying technology transparent to the users. They needed systems that were specifically made for each of the diverse funds and approaches they had developed. Finally, they were poised for growth and they required systems that would easily scale with their planned growth rate.

FinServ brought in a diverse set of professionals ranging from ERP experts to team members with experience in specific hedge and private equity fund strategies. Visioning sessions were held with cross fund executives to ensure all requirements were met and that each fund shared the common vision for the future architecture for the firm.

The FinServ team created a systems architecture blueprint combining packaged and custom solutions matching the client’s needs with the best of breed solutions. For the middle and back office, the team utilized a “thin ledger” approach selecting specialized subledgers to support the unique needs of each fund while ensuring a central repository would be able to consolidate, and report on information across the entire firm.

FinServ partnered with the CFO to create the business case and ROI model that was used to ensure buy in from the principals of the firm. This plan included a timeline for a phased in implementation.

After carefully reviewing the business plan and ROI model the firm’s principals embraced the systems architecture blueprint and authorized the funds to support the plan. Over the course of the following three years the majority of the components in the blueprint were successfully built and integrated. Each fund executive benefited from having systems that supported their specific business needs. The increased efficiency supported the alternative asset manager growing from $9 billion AUM to $38 billion AUM including bringing their manager entity public on the New York Stock Exchange.