Diagnostic Health Check
Our assessments are based on extensive experience working with funds to develop “best in class” transparency documentation.
Demand from regulatory agencies and investors have called for alternative investment managers to adopt robust transparency reporting at all levels of the investment structure.
Upon completion of each diagnostic, the fund will be given a score or 1 to 10 to determine the overall strengths and weaknesses of the funds’ reporting process. We identify material gaps relative to the latest industry and LP standards and provide actionable recommendations. Our assessments are based on extensive experience working with funds to develop “best in class” transparency documentation.
While always adjusted to our clients’ specific needs, key factors typically assessed in the Diagnostic Health Check may include the following:
- Conformity with Fund LPA
- Fee and Expense Review
- Frequency review
- Conformity with ILPA standard reporting
- Portfolio Assessment
Roles and Responsibilities
- Clearly defined financial reporting roles
- Governance/Internal Valuation policy and procedures
- Defined role of third-party valuation provider
- Defined role of platform manager
- Back-up and redundancy
- Cultural hurdles
- Fund-level accounting integration with reporting
- Portfolio management systems integration
- Black Mountain
- Sources of Information
- Ownership of data
- Data Tracing capabilities
- Data Review process and procedures
- Development of Chart of Accounts
- Back Testing
- Business Intelligence
- Asset Class
- Track Record
- Investment thesis
- Current Performance
- Valuation Methodology
- Gross MoM and IRR
- Exit Expectations
- Collateral and Counterparty Risk
- Cost Exposure
- Asset Class
- Covenant Risk
- Market Risk
Our industry knowledge is broad and deep.
BRG combines intellectual rigor with practical, real-world experience. We have an in-depth understanding of industries and markets, with expertise spanning the major sectors of the global economy. Following are some of the many sectors that we know inside and out.