- Fiserv expands investment support for hedge fund investments in managed accounts
- HedgeACT delivers hedge fund research, modeling, investing and reporting through managed account sleeves on the Unified Wealth Platform from Fiserv
- Partnership allows wealth management firms to offer hedge funds to investors at lower investment minimumsFiserv, Inc.
(NASDAQ: FISV), a leading global provider of financial services technology solutions, announced today it has partnered with HedgeACT, based in Chicago, to deliver access to an array of hedge funds to asset managers and investors within their managed account portfolios. The HedgeACT portal will be seamlessly integrated with the Unified Wealth Platform from Fiserv to enable sleeve-level functionality for hedge fund research, modeling, investing and reporting.
“Investors have driven triple-digit asset growth in managed accounts over the past five years, according to the Money Management Institute. This swell of new assets has increased the need for further diversification in managed account portfolios,” said Cheryl Nash, president, Investment Services, Fiserv. “Hedge funds are in particularly high demand by investors, and our partnership with HedgeACT enables managed account providers to serve this demand by making it possible to invest in a hedge fund with a significantly lower upfront amount than has been typical.”
In recent years, the growing use of investment sleeves by unified managed account (UMA) and overlay managers has enabled HedgeACT to pass along economies of scale to qualified individual managed account investors, who can now invest in hedge funds for as little as $100,000.
“Our partnership with Fiserv creates a much broader opportunity for managed account providers to capitalize on the demand by mass affluent investors to invest in hedge funds,” said Chad Meyer, president, HedgeACT. “Working together, Fiserv and HedgeACT have produced a simplified and transparent hedge fund investing process which helps providers better serve investors by increasing diversification in their portfolios.”
HedgeACT provides a direct connection to dozens of selected hedge funds and streamlines mission-critical tasks for asset managers and sponsors, including: due diligence, interactive fund research, presentation support, comparative analyses, model portfolio creation and management, as well as asset allocation with account- and sleeve-level reporting. The hedge fund portal will be accessible through the Unified Wealth Platform from Fiserv, with daily aggregation and reconciliation of transactional data.
The Unified Wealth Platform is tailored for asset managers with a highly-configurable user interface and dashboard, which enables seamless workflow navigation and integrated support of all discretionary managed account programs (ETF, MFA, RPM, SMA, UMA). Large enterprises can leverage the Unified Wealth Platform to integrate front-, middle-, and back-office wealth management technology – increasing automation, straight-through processing and end-to-end data aggregation.