Who we are.
For hedge funds and private equity firms, a boutique expertise consultancy across the enterprise to help fund managers better compete with peers and expand the universe of target investors. AFC provides at a high level, viable and sustainable C function co-sourcing support or as needed deep expertise across an asset manager skill set to augment team edge or complement a track record no matter the assets under management.1 Unlike firms that offer predictable commoditized solutions – we work closely with client executives to get to know how a firm ticks to unlock value and make change happen. Our AFC partners complementary and deep “real world” experience, expertise and relationships across business strategy, fund offering structures, securities-corporate law, enterprise risk, diagnostic firm review, operations, benchmark to best practices infrastructure, regulatory-compliance, finance, investor due diligence, and marketing strategy-solicitation framework offers fund managers an economies of scale alternative to help tackle today’s multi-faceted business challenges.3,5
To facilitate the likely-hood of a client’s marketing, business and investor success, our AFC professionals roll up their sleeves to provide the pragmatic and nimble client solutions investors expect across the entire forest not just the trees. Our goal is to offer our clients, a viable and scalable alternative across the interconnected functions of executing, growing, managing and protecting an asset management organization at every phase of life-cycle.1 AFC Professionals with real world know how to quickly optimize a client’s resources and project the strict and exacting business model regulators and today’s investors expect without sacrificing sustainable business growth.
What we do.
- Boutique consultancy to fund managers offering top tier (in the trenches) c-level expertise or collaborative executive support across the interconnected areas of executing, growing, managing and protecting an asset management organization at every phase of life-cycle.1
- To help better compete for assets, we take a “hands on” approach to get to know how a fund manager ticks, an approach typically not found with most law firms or specialized consultancies.3
- Increase the likely-hood of investor asset gathering success with AFC scalable, pragmatic and viable alternative to meet the increasing demands of both regulators and today’s sophisticated investors.
- AFC partners complementary and deep expertise across business strategy, fund offering structures, securities-corporate law, enterprise risk, diagnostic firm review, operations, firm infrastructure, regulatory-compliance, finance and the marketing strategy-solicitation framework offers an economies of scale alternative to help tackle today’s multi-faceted business challenges and overcome investor expectations without sacrificing business sustainabilty. 2
- Each AFC professional has at least two decades of c-level, partner or director asset management in-house, law firm or external advisory experience within his or her area of competency.6
- We help to project safety of assets, mitigate cash burn and close the gap(s) that may trigger rejection by peer selection.
- For early stage, emerging or well established managers – we offer “viable” solutions to help overcome today’s business growth challenges.2,4
- We help curb the business red flags that veto an investment or project a manager’s lack of focus on portfolio management.4
- Unlike firms with predictable commoditized solutions, AFC professionals work closely with client executives to unlock value through our customized ideas and experience to help make change happen.
- We provide real world expertise to help clients better compete for assets, augment team edge and complement track record.
- We roll up our sleeves to execute the nimble solutions both clients and investors seek across the entire forest not just the trees.2
- Deep industry experience and the relationships to help client executives make better business decisions and ultimately outperform peers.2
- We offer client executives the value of sharing what works from two decades of industry insight, relationships, and resources not otherwise available to a client organization.
- Expand the universe of target investors or improve the likely-hood of marketing success, AFC can close the gaps that may trigger investor rejection by peer selection.
Enterprise Wide (best practices) fund manager expertise.
- Start-Up-Early Stage: Fund-Firm Formation, Infrastructure, best practices adviser and fund product offering set-up, infrastructure and counter-party expertise across the front, middle and back office.
- Early Stage-Emerging: Collaborative and Scalable C-level Co-Sourcing, mitigate perceived reputational risk and expand investor universe with the collaborative support from sophisticated c-level experienced executives advising the spectrum of conventional, niche and complex asset management firms across the GC, COO, CFO or CCO function.1
- Emerging-Well Established: Diagnostic Gap Analysis, Investor Ready Due Diligence, Recommendations and Execution of Solutions, project safety of assets with (enterprise wide) best practices gap analysis. Reduce fixed costs, improve efficiencies, curb investor concerns over reputational and regulatory risk. Better managed firms create better returns and project a marketing edge to potential investors.
- Increase operational alpha, we leverage pragmatic industry know how and deep relationships to augment operations and reduce the fixed costs that can drag on returns.
- Counter-party expertise, deep knowledge and relationships across operational, counter-party set-up, enterprise risk management, legacy cost mitigation.
- Business & marketing strategy, increase the likely-hood of marketing success with our deep understanding of what investor communication works and does not with target market. Avoid the red flags that typically lead to sophisticated investor rejection by peer selection.
Collaborative Co-Sourcing Expertise Across the Fund Manager Organization to Help Alternative Investing Managers Overcome Today’s Business Challenges
Outsourcing non investment key functions is common for the hedge fund industry generally, but even more so for emerging managers as they grow their business (Third Annual Due Diligence Survey, Deutsche Bank, 2014).
1. Notwithstanding capital to ever-larger fund management firms, new managers with excellent pedigree or expertise in market niches can find fundraising success with many allocators; however, many larger investors decline to commit capital until a fund can raise a threshold level of aggregate commitments, so as to be assured manager can maintain a sufficient fee stream to conduct operations with stable team of investment professionals. Schultz Roth&Zabel 3rd Annual Private Equity Fund Conference, June 9,2015.
2. There is now an enhanced appetite by institutions to develop relationships with newer smaller managers to mitigate growing concern larger managers deploying vast sums of capital may be unable to maximize performance. Schultz Roth&Zabel 3rd Annual Private Equity Fund Conference, June 9,2015.
3. The majority of studies show the higher failure for [newer Firms] compared to established Firms is often due to business mistakes rather than investment issues (Christany, Dauland Giraus), 2014.
4. Red flags: top five reasons an investor will veto an investment, unwillingness to provide adequate transparency, inadequate or inappropriate compliance policies and procedures, poor separation of duties, inadequate personnel or lack or relevant experience in critical roles, inappropriate valuation policy (Third Annual Due Diligence Survey, Deutsche Bank, 2014).
5. Outsourcing non investment key functions is common for the hedge fund industry generally, but even more so for emerging managers as they grow their business (Third Annual Due Diligence Survey, Deutsche Bank, 2014).
6. For more information, please see key professional bios under “who we are”.