The Institutional Limited Partners Association (ILPA), SunGard, AlpInvest and PricewaterhouseCoopers (PwC) have all joined The AltExchange Alliance, the global private equity group looking to implement a common data standard.
As the Alliance’s focus shifts from formulating the standards to promoting widespread adoption, the participation of ILPA is important given the body’s previous work in campaigning for harmonised data standards within the industry.
Similarly, the inclusion of SunGard alongside founding member eFront means that two of the biggest tech providers in the private equity industry now stand behind the initiative.
Formed in May 2013, the Alliance has since seen substantial growth, now counting as members 50 firms from across the breadth of the private equity sector, from limited partners (LPs) and general partners (GPs) to consultants and service providers. It also made progress towards its objective with the publication of its ‘Group One’ standard – the industry’s first ever detailed template for the exchange of data related to capital accounts, schedules of investments, and cash flow activity – in December 2013.
“Developing a common data standard, that can be practically applied by the industry, has taken an incredible amount of work over the past year and we are delighted to see that effort is now paying off with heavy-weights such as PwC, ILPA, AlpInvest and SunGard joining our ranks,” says Fraser Booth, senior investment manager at USS. “It is proof positive that AltExchange is a truly collaborative undertaking with the full backing of the wider industry. Having the support and expertise of these highly influential players will help tremendously as we seek to communicate more widely within the industry, and drive adoption during the second half of the year.”
“In defining common data standards and promoting their adoption, AltExchange will have transformational value for the alternative investment industry,” says Doug Morgan, president of institutional asset management at SunGard. “Many of AltExchange’s current members use our Investran private equity platform, and ultimately these standards will enable technology solutions to help increase efficiency and provide more insightful data and analytics.”
“Creating the ability to allow GPs and LPs to share information electronically in a consistent format is an issue that impacts our members globally,” said Kathy Jeramaz-Larson, executive director of ILPA. “We are very supportive of the efforts of the AltExchange Alliance to tackle this difficult industry issue and welcome the opportunity to work with them and the chance to become part of the solution.”
