Enhanced Investments - Financial Portal

SS&C Unveils Insights from Inaugural Emerging Managers Survey, Revealing Shifting Investment Priorities for 2024

Published: 2023-10-24 13:00:00 ET

LPs look to boost allocations in private debt and equity while emerging managers embrace technology

WINDSOR, Conn., Oct. 24, 2023 /PRNewswire/ -- SS&C Technologies Holdings, Inc. (Nasdaq: SSNC) today revealed insights from its first annual Emerging Managers report. Produced in association with Private Equity Wire, the survey* of 143 market participants found LPs are planning to increase their allocation to private debt and private equity over the next 12 months. Emerging managers, faced with fundraising challenges, are focusing on enhancing their operational technology to meet LPs' transparency and reporting demands.

"Despite a persistently difficult environment for fundraising, more than two-thirds of GPs and LPs we surveyed are invested with emerging managers and continue to see opportunities in the segment," said Bhagesh Malde, Head of SS&C GlobeOp. "To enhance their visibility, emerging managers are turning to technology, leveraging artificial intelligence to automate tasks and alleviate operational burdens within their teams."

The most important factors influencing LP allocation to emerging managers include team expertise, transparency/reporting quality, and alignment with LP philosophy. At the same time, due diligence constraints and compliance concerns are cited as significant obstacles. Other key findings include:

LPs seeking higher alpha (88%) and unique investment strategies (70%) from their investments with emerging managers, with 65% favoring private market strategies.
More than half of emerging managers surveyed highlight time and resource constraints, with nearly 70% saying their operational infrastructure would benefit from an upgrade.
Emerging managers are investing in technology to achieve efficiency and reduce manual work (69%), while a third (27%) see technology as a way to achieve cost savings.
Sixty percent of GPs are considering using artificial intelligence to drive efficiency gains. About 20% of the managers surveyed are already piloting AI in their tech stack.

Click here to read the full report.

Learn more about SS&C's solution for emerging managers here.

*Responses were collected from 80 LPs and 63 GPs in July/August 2023.

About SS&C Technologies

SS&C is a global provider of services and software for the financial services and healthcare industries. Founded in 1986, SS&C is headquartered in Windsor, Connecticut, and has offices around the world. Some 20,000 financial services and healthcare organizations, from the world's largest companies to small and mid-market firms, rely on SS&C for expertise, scale and technology.

Additional information about SS&C (Nasdaq: SSNC) is available at www.ssctech.com.

Follow SS&C on Twitter, LinkedIn and Facebook.

View original content to download multimedia:https://www.prnewswire.com/news-releases/ssc-unveils-insights-from-inaugural-emerging-managers-survey-revealing-shifting-investment-priorities-for-2024-301965500.html

SOURCE SS&C

Enhanced Investments, Inc.
329 South Oyster Bay Road #2085
Plainview, NY 11803
team@eninvs.com

Important disclosures

Performance results were prepared by Enhanced Investments, and have not been compiled, reviewed or audited by an independent accountant. Performance estimates are subject to future adjustment and revision. Investors should be aware that a loss of investment is possible. Account holdings are for illustrative purposes only and are not investment recommendations. Additional information, including (i) the calculation methodology; and (ii) a list showing the contribution of each holding to the portfolio’s performance during the time period will be provided upon request.
All statements made via social media sites sponsored or maintained by Enhanced Investments and its affiliates are for informational purposes only and do not constitute a comprehensive description of Enhanced Investments' investment advisory services.
Certain investments are not suitable for all investors. Before investing, consider your investment objectives and applicable fees. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested. Information provided by Enhanced Investments is for informational and general educational purposes only and is not investment or financial advice.

Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities.
Past performance is no guarantee of future results. Any historical returns, expected returns [or probability projections] are hypothetical in nature and may not reflect actual future performance.
All the strategies assume investments in equity invstrumenta only and are more relevant for "agressive investment profile". Eastern European flagship strategy assumes using up to 20% leverage of total portfolio. GlobalCommodities and US Growth strategy currently assume no leverage.
Results for the Enhanced Investments strategies as compared to the performance of Illustrative Benchmarks is for informational purposes only. Our investment program does not mirror that of the Illustrative Benchmarks and the volatility may be materially different from the volatility of Illustrative Benchmarks. Reference or comparison to an Illustrative Benchmark does not imply that strategies of Enhanced Investments will be constructed in the same way as the Illustrative Benchmark or achieve returns, volatility, or other results similar to those of the Illustrative Benchmark. The S&P 500 is an unmanaged market capitalization-weighted index of 500 common stocks chosen for market size, liquidity, and industry group representation to represent U.S. equity performance.
Performance results were prepared by Enhanced Investments, and have not been compiled, reviewed or audited by an independent accountant. Performance estimates are subject to future adjustment and revision. Investors should be aware that a loss of investment is possible. Account holdings are for illustrative purposes only and are not investment recommendations. Additional information, including (i) the calculation methodology; and (ii) a list showing the contribution of each holding to the portfolio’s performance during the time period will be provided upon request.
All statements made via social media sites sponsored or maintained by Enhanced Investments and its affiliates are for informational purposes only and do not constitute a comprehensive description of Enhanced Investments' investment advisory services.
Certain investments are not suitable for all investors. Before investing, consider your investment objectives and applicable fees. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested. Information provided by Enhanced Investments is for informational and general educational purposes only and is not investment or financial advice.