An ASIC report notes the boom in demand for this asset, saying it heightens the need for “better-quality data” about the size of this sector where estimates range between $1.8 billion and $188 billion.
CPA Australia has weighed into the debate about the cost to oversee the industry, adding its voice to those who argue the fee structure favours the larger funds.
Battle lines drawn in performance measurement
eVestment Alliance (eA) has thrown down the gauntlet to Mercer in the institutional performance information and fund ranking markets with the acquisition of two well-known hedge fund information businesses.
eA has acquired PerTrac, one of the largest specialist hedge fund information firms, and Fundspire, a cloud-technology hedge fund analytics and performance data and tools provider.
eA has been the main global competitor to Mercer, which still has the largest share of the mainstream funds management performance market, but the addition of new services in the alternatives space should narrow the gap.
PerTrac, founded in the US about 16 years ago, has about 100 staff in various countries with a product range of 13 ‘solutions’ for clients. The smaller Fundspire – with about 20 staff – is known for its innovation in information delivery. Combined staff post merger will be about 250.
PerTrac said that the acquisition underscores its belief that portfolio diversification by institutional investors will continue.
“The scale and strength of our combined businesses and the commonality of needs will result in more product options for our entire client base and many new possibilities for our associates,” PerTrac chief executive, Jim Minnick, said in a prepared statement.
