Fast paced changes require real-time forecasting
Lionpoint: Best Technology Advisory Firm – The changes and uncertainty which have come to light in the past year, coupled with the increasing speed of the private equity industry, have highlighted the need for faster, more reliable data to enable real-time forecasting and portfolio monitoring, accounting fund administration and performance.
“Clients recognise that having access to reliable data enables a better understanding of the different aspects of their organisation. It also supports efforts to enhance business relationships and deal making,” explains Nick Moore, Co-founder and Executive Director at Lionpoint. “With accurate and up-to-date data, they have a better understanding of their deal sourcing, deal pipeline, who their best lenders are, the best partnerships, and they can cultivate and build stronger relationships with their investors.”
Moore notes clients are now viewing their challenges at a more macro level. In the past, they would approach Lionpoint for an implementation, after having selected the technology they wanted, to solve a specific problem.
“We are increasingly working with clients on operating model assessments, reviewing their operations across the front, middle and back office. The result is a target operating model that takes account of the people, processes and technology required to deliver on the company’s strategy, and an 18–36-month plan of how to get from where they are today to where they need to be.”
Over the years, a growing number of viable technology solutions have become available to the private markets industry. As a partner that has a broader view and deeper experience of the technology solutions available, Lionpoint is helping clients define their technology strategy and review the best solutions available to meet the business’ needs.
The firm has been growing rapidly and partnering with technology solutions focused on the private equity industry, as well as those that are industry agnostic. “Our business continues to evolve so that we can provide the industry and technology expertise for the changing needs of our clients. This has included increasing our team’s experience across data and analytics, modelling and forecasting, and business process automation to match the expansion plans of clients,” Giles Travers, Managing Director at Lionpoint, delineates.
Travers expects private equity firms to become more complex as they offer their clients products across multiple geographies, asset classes and regulatory / legal structures. In view of this increasing complexity, technology will play a huge role in determining how they compete, and the value they can offer.
Technology is a challenge for both general partners and limited partners. Said Travers, “Firms need the right talent that understand the right technologies to enable business as well as a core team to execute on digital transformation.
“Both GPs and LPs need to have a more strategic approach to technology. Rather than viewing it as a separate function, it needs to be seen as an enabler to doing business which can help deliver on the firm’s vision.”
From its perspective, and in light of its ambition to deliver great results and data for clients, Lionpoint has developed a solid foundation of technology service providers. The firm works with clients on their internal processes to collect, review, and approve data to be used effectively.
Nick Moore, Co-founder & Executive Director, Lionpoint
Nick Moore is a Co-founder & Executive Director at Lionpoint Group, responsible for global business strategy and execution. He has over 25 years’ experience in global financial services, private equity and real assets along with extensive front-to-back-office strategy, operations and technology expertise.
Giles Travers, Managing Director, Lionpoint
Giles Travers has over 17 years’ experience working with leading global investment managers and financial services firms in respect of strategy, technology, and operations. At Lionpoint, he has a specific focus on alternative investment operations (private equity, venture capital, private debt, fund of funds), digital and technology transformation.