HYBRID FUND SERVICES

HYBRID FUND SERVICES
As the alternative investment industry continues to evolve in response to the changing market conditions, investment managers
have had to reinvent themselves to more closely align structure with strategy. By way of example: (i) Hedge fund managers
are utilizing close-ended fund structures to manage investor liquidity in liquid trading strategies and; (ii) Traditional private
equity and real estate managers have had to expand their product offering across a variety of return profiles to accommodate
investor risk requirements. The investment vehicles of choice, the so-called “hybrid funds”, are becoming an increasingly
prevalent phenomena in the alternatives sector.
With characteristics that directly address the investor/investment liquidity mismatch by taking advantage of longer capital
lock-ups, modified high-watermark and complex waterfalls, tiered management fee arrangements, investor friendly investment
structures and investments in both liquid and illiquid securities and products, managers are creating structures that are
increasing the operational and administrative burden associated with operating a fund.
For more than 30 years, Citco has offered high quality administration services to alternative investment firms globally.
Drawing on Citco’s industry leading technology platforms vast expertise with the traditional hedge fund, private equity
and real estate administration platforms, Citco has developed an outstanding range of hybrid fund administration services
for GPs, LPs and SPVs. These services include Fund Accounting and Administration, Investor Relations, Tax, Financial and
Regulatory Reporting and SPV Administration Services, all provided on a global scale and managed through a single point
of contact.
Front Office
Middle Office
• Real-time trade processing
• Post execution trade capture
• Daily position, P&L and activity reporting
• Global security master
• Position monitoring
• Unique OTC client security master
• Trade and position break reporting
• Daily cash, position, proceeds and trade
• Independent monthly valuation/
verification of portfolio
• Daily corporate action processing
• Daily pricing for comprehensive listed
prices
Fund Accounting
• Maintenance of official books and records
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of the fund
Post non-trade activity
Computation of fees and accruals (including
management fees and expenses)
Waterfall modeling and calculation
Processing capital transactions including
capital calls, distributions, rebalances,
transfers, etc.
reconciliation to prime brokers/ banks/
custodians/ counterparties
• Loading of client private and derivative
prices
• Collateral management and treasury
services
• Provide accounting related reports to
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investment manager (e.g. financial
statements, schedule of investments)
Investor capital account maintenance
and reporting
Calculation of net asset value
Performance metrics at legal entity
and investor levels (e.g. IRR, ROR)
Ensure compliance with fund’s legal
documents
Investor Relations
Services
Tax, Financial and
Regulatory Services
• Reporting services including preparation
• Maintain all investor records
• Communication services with investors
and Fund’s third parties, including investor
due diligence questionnaires
• Customized investor reporting and
direct response to customer queries
• Investor documentation review
and dissemination of partner capital
statements, capital call and distribution
notification, new letters, etc.
• Investor identity verification in accordance
with KYC & AML procedures
• Online reporting for managers and investors
• Establish and maintain tax capital accounts
• Audit coordination and support
• Prepare federal, state, local and other
• Regulatory reporting including Form PF
• Establish domiciliation for holding,
• Provide personal/ corporate resident
required tax forms
• Prepare schedule K-1’s
• Tax planning assistance for future products
• Financial Statement preparation
SPV Administration
Services
company management, company advisory
entities and carry vehicles
• Multi-jurisdictional entity & portfolio
governance
• Open & operate bank accounts
• Provide domicile/registered address
and AIFMD
• Interact with independent accounting,
tax advisors
• FATCA services
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directors
Company secretarial services
Ensure companies meet local regulatory
requirements
Tax reporting assistance
Accounting, including preparation of
financial statements and consolidations
CONTACTS
USA
Jeffrey Rosen
Email: [email protected]
Phone: +1 201 793 5572
Michael Peterson
Email: [email protected]
Phone: +1 201 793 5674
Europe
Oliver Scully
Email: [email protected]
Phone: +44 207 290 1369
Asia
Niall Fagan
Email: [email protected]
Phone: +65 6571 1702
Citco provides Hybrid Services globally from 45 offices including Amsterdam, Cayman Islands, Dublin, Guernsey, Hong Kong, London, Luxembourg,
Mauritius, New York, San Francisco, Singapore and Sydney
www.citco.com