Alternative Capital Market Insights | WealthForge

ADISA Focus on Alternatives Part 2: Straight Through Processing Solutions for Alternative Investments

Written by Ryan Gunn | January 22, 2020

Last year at the ADISA Annual Conference, WealthForge CEO Bill Robbins joined Damon Elder, Publisher at TheDIWire.com for a conversation on Fintech and electronic processing for alternative investments. In this, the second of a three part series, they discuss a technology solution that can help industry participants overcome the road blocks discussed in Part 1: Inefficiencies and High Error Rates in Alternative Investments.

Watch the video for the full interview or read some quick takeaways below.

 

The Benefits of Straight Through Processing


Investors can expect a more pleasant investment experience created by an efficient online investment process that includes electronic signatures.

Advisors can expect sales lift and productivity benefits thanks to an intelligent order-entry process ensures the correct information is collected, pre-filled documents that can be routed easily to all stakeholders for review and signing, and a transaction activity dashboard allows investments in progress to be tracked transparently.

Sponsors can expect capital raising efficiency and operational efficiency associated with reduced NIGO errors.


Current Solutions and Future Standardization


Multiple options for straight through processing already exist in the market today for industry participants to utilize. In order for the alternative investment industry to achieve its full potential, some standardization will have to occur. The DTCC’s product, AIP, provides a fundamental common infrastructure, but fintech providers will have to provide solutions that function as an on-ramp in order to further eliminate manual processes, and close the loop on full straight through processing.

 

WATCH NEXT - Part 3: The Opportunity Cost of Not Adopting Straight Through Processing.