New York, NY, USA
September 2, 2008

Trends in Hedge Fund Administration 2008

Table of Contents

Return to report Abstract

Executive Summary 3
Introduction 5
Relevant Hedge Fund Industry Trends 6
  Growth Dynamics 6
  Alpha/Beta Bifurcation and Hedge Fund Complexity 9
The Era of Self-Administration Is Coming to an End 12
  Growth of the Hedge Fund Administration Market 12
  Growth Drivers 13
Dynamics in the Provider Market 15
  View from the Top 15
  The Expanding Provider Market 16
  Acquisition Activity 18
  Playing the Niche Card 19
  Geography of the Provider Market--Dublin and Beyond 21
Industry Trends--Taking Fund Administration to the Next Level 24
  Middle Office Services 24
  Enhancement of Traditional Services 29
  Gearing Up for Fund of Hedge Fund Administration 32
  Private Equity Fund Administration--A Distinct Playground 35
The Administrator's Operations in the Spotlight 37
  Globalization of Business Operations 37
  Evolution of the Operational Model 38
  Corporate Controls--SAS 70 42
Looking Forward 44
 

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Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally experienced analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is part of Marsh & McLennan Companies [NYSE: MMC].

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